Japanese Finance Minister said it is necessary to take strong action in the foreign exchange market if the yen falls below 163 and cannot be supported.

Two senior Japanese officials warned that authorities are prepared to take action in the foreign exchange market if necessary, but their remarks have done little to support the yen, which continues to be under pressure. Finance Minister Taro Aso told reporters on Wednesday that the sudden escalation of tensions between the United States and Iran was unexpected globally and has made the current environment extremely difficult. He said, "Our policy has not changed at all: if necessary, we will take appropriate and decisive action at any time." Chief Cabinet Secretary Yoshihide Suga also warned that appropriate responses will be made to exchange rate fluctuations as needed. Due to the impact of the renewed escalation of tensions between the US and Iran pushing up oil prices, the yen against the US dollar fell below 163 overnight, hitting a level not seen since 1986. Following Kihara's remarks, the yen against the US dollar remained stable around 163.16 on Wednesday morning.