Japan PM talks up weak yen even as her gvmnt works to counter currency decline

Japanese Prime Minister Sanae Takaichi has talked up the benefits of a weaker yen in a campaign speech, adopting a tone at odds with her finance ministry which has refused to rule out any options to counter excessive foreign exchange volatility.



Takaichi later softened her stance, saying she did not have a preference for the yen's direction.



"People say the weak yen is bad right now, but for export industries, it's a major opportunity," Takaichi said on Saturday ahead of a snap election on February 8.



"Whether it's selling food or automobiles, even though there were U.S. tariffs, the weaker yen has served as a buffer. That has helped us tremendously."



Takaichi also expressed a desire to build an economic structure resilient to currency fluctuation by boosting domestic investment.



The yen has hovered at 18 month lows against the U.S. dollar, contributing to inflation that has raised the prospect of interest rate hikes by the central bank.



Minister of Finance Satsuki Katayama has repeatedly said her ministry will take action to support the currency when necessary, which analysts and traders have widely interpreted as market intervention.