Japanese finance minister Hirohisa Fujii has made it clear that any drastic strength in the Yen will be dealt with.
WSJ: “I for one do not believe that authorities should intervene in foreign-exchange markets in an excessive way,” he said in an interview. “However, if forex market movements are outrageously reckless, or acting without any order, then I think some kind of measures are needed.”
Sure he won’t give a specific Yen/Dollar level Japan would step-in to defend, yet to the market his words are clear.
Yen carry-traders, Japan’s got your back.