The WSJ reports that Japan’s Tax Bills Hold Key to Currency Policy
The thinking is that a rise in the yen could derail the economic recovery and prevent the government objective of hiking the sales tax to 10% from 5%.
It also includes a nice tidbit saying that US opposition to currency intervention due to the election is not a concern in Japan.
Several senior Japanese government officials familiar with international finance affairs have said the view Japan is likely to rule out intervention because of the U.S. polls is “inconceivable.”
