Bessent just spelled out why the US actually cares about the yen:
Basically, if the yen tanks too hard, it doesn't just stay in Japan. Other Asian currencies start sliding with it. He's pointing back to '97-'98 when that exact dynamic helped blow up half the region.
So yeah, Washington's not doing this out of charity. They just don't want a repeat of contagion that could ripple into global markets and eventually hit US exposure.
Classic macro domino logic. Weak yen → regional FX instability → broader risk-off → everyone's problem.
Basically, if the yen tanks too hard, it doesn't just stay in Japan. Other Asian currencies start sliding with it. He's pointing back to '97-'98 when that exact dynamic helped blow up half the region.
So yeah, Washington's not doing this out of charity. They just don't want a repeat of contagion that could ripple into global markets and eventually hit US exposure.
Classic macro domino logic. Weak yen → regional FX instability → broader risk-off → everyone's problem.