Japan finance minister Kato wants to boost support for low-income households

Earlier:

• Japan chief cabinet secretary Hayashi – PM Ishiba wants a comprehensive economic package

Japan’s new finance minister is given a heads up outline on some of the measures that’ll be included:

• focus on price relief
• measures to boost economic growth
• assistance for low income households

JPY is catching a bit of a bid on this, the reasoning being more stimulus would feed into more activity and, at the margin, prop up inflation and thus lead to rate hikes. Whew … that’s a long chain of causation but that’s how the reasoning goes.

USD/JPY down just a little:

This article was written by Eamonn Sheridan at www.forexlive.com.