US Dollar: 1. US Treasury Secretary Bessant: Optimistic that Powell will eventually leave the Fed in the near term. 2. Fed's Barr: Warns that private lending risks could spill over into the financial system through "psychological contagion." 3. Fe

2026-05-04

US Dollar: 1. US Treasury Secretary Bessant: Optimistic that Powell will eventually leave the Fed in the near term. 2. Fed's Barr: Warns that private lending risks could spill over into the financial system through "psychological contagion." 3. Fed's Kashkari: Does not believe there is an immediate crisis in US government debt levels; in some cases, the Fed may need to raise interest rates. Japanese Yen: 1. Japan may have conducted a second round of intervention; analysts say fundamentals remain unfavorable for the yen. 2. Goldman Sachs: Estimates Japan used 5 trillion yen to intervene in the foreign exchange market last week, and could intervene 30 more times. 3. Mizuho Securities: The yen may remain weak ahead of the Bank of Japan's June meeting (when the market widely expects an interest rate hike). 4. Japanese Finance Minister Katayama Satsuki: Decides not to comment on whether the foreign exchange market was intervened. Some speculative volatility has occurred in the market. 5. Japan's top foreign exchange official, Mimura Jun: Speculative operations in the foreign exchange market have intensified; decisive measures in the foreign exchange market are getting closer. Other: 1. ECB Governing Council member Villeroy: Continue efforts to combat inflation and maintain euro stability. 2. Bank of Korea: Market opinion is that current exchange rate levels are not problematic. It's time to consider raising interest rates. 3. Bank of England voted 8-1 to keep interest rates unchanged, but the statement hinted at a possible rate hike. Governor Bailey held an emergency press conference to quell the situation. 4. National Bank of Kazakhstan: Sold $300 million from the national fund into the domestic market in April. Plans to sell up to $500 million from the national fund in May.