Adviser to Japanese PM Abe in an interview with Reuters 24 May 2016

  • hopes that G7 leaders will deliver a stronger message following the agreement by fin mins to use a combination of monetary, fiscal and structural polices
  • Abe should roll out fiscal stimulus to offer a rise sales tax if goes ahead as planned
  • agrees that G7 leaders should support Japan's desire for ccy stability

"It won't be good for the currency (yen) to become highly volatile through excessive speculative moves. From that perspective I expect the G7 leaders may deliver some kind of message"

G7 leaders meet this week-end (26-27 May) in Japan following last week's fin min jolly.

Meanwhile USDJPY holding above 109.50 with GBPJPY demand lending additional support to offset EURJPY supply.