Yen and BOJ's rate policy may remain focus in Japan-U.S. trade talks

Japan narrowly avoided U.S. pressure over its currency amid bilateral finance talks, with officials suggesting the focus remained on economic collaboration rather than exchange-rate management or yen control. Although Finance Minister Katsunobu Kato hinted at avoiding direct discussions on exchange rates or a framework to manage yen fluctuations, there was no indication of intentional yen weakening from Japan's side. The emphasis appeared to stay on maintaining trade relations and diplomacy, as U.S. officials did not accuse Japan of manipulating the yen. These talks marked a cautious step in addressing broader economic ties without delving into currency policies that could escalate tensions.