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Japan’s Kato: Bond markets should decide on rate moves

Speaking at a news briefing on Tuesday, Japan’s Finance Minister Katsunobu Kato said that "we will respond appropriately bearing in mind that the market should be allowed to decide market moves.”

He further noted that “bond markets should decide on rate moves” after the 40-year government debt yield briefly jumped to a record high.

Kato declined to comment on factors behind the rising yields, saying “doing so would impact the market.”

Market reaction

At the time of writing, USD/JPY is hanging close to two-week highs near 149.50, up 0.17% on the day.

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