Japan finance ministry, BOJ discuss the start of Trump’s tenure

A Japanese flag flutters atop the Bank of Japan building in Tokyo, Japan

TOKYO (Reuters) – Top officials from Japan’s finance ministry, central bank and financial regulator met on Monday to exchange views on global financial markets, the finance ministry said.

The meeting comes amid uncertainty about how financial markets will respond to U.S. President Donald Trump, who was sworn into office on Friday.

Officials from the ministry, the Bank of Japan and the Financial Services Agency declined to comment on what was discussed.

Vice Finance Minister for International Affairs Masatsugu Asakawa, Japan’s top currency diplomat, and Masayoshi Amamiya, the Bank of Japan’s executive director overseeing monetary policy, attended the meeting, the finance ministry said.

On some occasions after similar past meetings, Asakawa has expressed concern about sudden yen appreciation.

Japanese officials tend to prefer a weak currency as this increases exporters’ earnings and helps ward off deflation by pushing up import prices.

Still, officials often have to temper their public comments for fear of giving the impression that Japan is trying to competitively devalue its currency, something that the Group of Seven countries actively try to discourage.

(Reporting by Stanley White; Editing by Richard Borsuk)