Japanese foreign exchange reserves continued to decline in October

In September there was a record fall in Japan's foreign exchange reserves. In October the decrease continued and was reflected in the largest historical amount of interventions on the purchase of the yen and the sale of the dollar. This was reported by the Ministry of Finance.

According to the ministry, decreases in foreign exchange reserves of Japan continue for the third month and amount to about $ 1.19 trillion. As of the end of October, these figures are still the second-largest in the world after China. The drop by $43.5 billion was the second sharpest monthly decline in recorded history.

Foreign assets and intervention reports of Japan are being closely monitored by market participants for a preliminary assessment of possible costs for Japan to stabilize the yen.

Japanese officials dismissed rumors of disagreement with their U.S. counterparts on dollar-selling interventions. They said they are in close contact with the US. On the other hand, the U.S. is raising interest rates to fight against inflation.