Yamazaki Tatsuo: The Japanese yen is undervalued by 20%, and bears need to be alert to the risk of intervention by Japanese authorities

Former head of Japan's foreign exchange policy, Tatsuo Yamazaki, stated that the yen should appreciate by up to 20% from its current level to 130 yen per US dollar, and believed that the estimate that the yen is currently undervalued by 10% is conservative. Yamazaki Tatsuo pointed out that the market should not misunderstand the calm of the Japanese authorities as complacency, and those holding short positions in the yen face the risk of being intervened and punished. The Japanese Ministry of Finance is ready to take action.