Bessent says he believes Japan will take action leading to stronger yen

U.S. Treasury ‌Secretary Scott ​Bessent told CNBC on Monday that he believes the Japanese government and ‌the Bank of Japan will take action that leads to a stronger yen.

"I have information that the market doesn't ‌have, and it's my belief that the Japanese government ‌and that the BOJ will do the things that will lead to a stronger yen," he said. When asked whether that meant raising ⁠interest ​rates, Bessent said: "I ⁠think the market's pricing that in now."

The yen gained against ⁠the dollar after Bessent's comments, which suggested a strong chance the ​BOJ will raise interest rates at its next policy ⁠meeting in September. The dollar was last down 0.23% at 159.68 ⁠yen ​on Monday.

Bessent was speaking while hosting a Group of 20 finance leaders' gathering in Asheville, North Carolina, ⁠which BOJ Governor Kazuo Ueda is attending. Bessent had said he ⁠was ⁠likely to meet Ueda on the sidelines of the meetings.