A joint U.S.-Japan foreign-exchange intervention to buoy the yen doesn't seem likely at this juncture, says RBC BlueBay Asset Management's Russel Matthews in an interview. The relative stability of core government bond yields likely leaves the U.S. reluctant to get involved, the senior portfolio manager for global macro strategy says. However, he flags that long-end Japan government bond yields could become more volatile amid continued yen weakness, such as the 10-year yield approaching 3.0%. The volatility could seep into Treasurys and global government bonds and increase the need for collective intervention, he adds. RBC BlueBay has a neutral position on the yen. Matthews notes that Tokyo's potential intervention measures appear "increasingly random [and] sporadic." (megan.cheah@wsj.com)
Dow Jones Newswires
Joint U.S.-Japan FX Intervention to Boost Yen Seems Unlikely — Market Talk
A joint U.S.-Japan foreign-exchange intervention to buoy the yen doesn't seem likely at this juncture, says RBC BlueBay Asset Management's Russel Matthews in an interview. The relative stability of core government bond yields likely leaves the U.S. reluctant to get involved, the senior portfolio ma…