Japanese authorities are unlikely to intervene in foreign exchange markets to prop up the yen as the currency has already found some support and will head much higher as U.S. interest rates peak, former finance official Eisuke Sakakibara said.
Sakakibara gained a reputation as a market mover in the 1990s after devising several currency interventions during his time as vice finance minister, earning him the nickname "Mr. Yen." He remains a closely watched figure by markets for his insight on the yen.
The yen is poised to reach 130 against the U.S dollar by the year end as the U.S. Federal Reserve ends its aggressive monetary tightening and as Japan's economic outlook brightens, Sakakibara said on Friday.