In Tokyo trading on the 28th, dollar/yen turned lower. The dollar temporarily rose to ¥157.85 in the morning on higher oil prices and US interest rates, but gains stalled amid a lack of fresh catalysts, and by the evening it had been pushed back to the upper ¥156 range on concerns about coordinated Japanese-US intervention.
In Tokyo trading on the 28th, dollar/yen fell back after temporarily rising to ¥157.85 in the morning on higher oil prices and US interest rates. Gains were subsequently capped by a lack of fresh catalysts. In the afternoon, concerns over remarks by the US president discouraging yen weakness intensified, and dollar/yen fell through its early-morning low to ¥156.61. Euro/yen fell from ¥179.72 to ¥178.26, while euro/dollar declined from $1.1391 to $1.1371.
The Nikkei 225 closed at ¥65,877.62, down ¥486.58 from the previous day. Remarks by officials included views expressed at the Bank of Japan's Monetary Policy Meeting that an adjustment to the degree of monetary easing would be desirable, the possibility of rate cuts below the estimated range for the neutral rate, a policy of gradually shifting toward the sustained achievement of 2% underlying inflation, and the potential pace of rate hikes. As an economic indicator, Japan's Corporate Services Price Index (August) rose 3.7% year on year.