Kan, Noda to Discuss Yen

By Forexyard: By Russell Glaser Tough talk from Japanese officials continues to spark speculation of additional intervention in the FX markets to weaken the yen. Market positioning is also overextended and a move higher in the USD/JPY could be sharp and quick.

TOKYO (Reuters) - Japanese Prime Minister Naoto Kan said the yen's sudden rise against the dollar had become a concern and he would continue to watch it carefully, Japanese media reported on Saturday.

The dollar hit a 15-year low against the yen on Tuesday as Japanese Prime Minister Naoto Kan won the ruling party leadership vote, raising speculation Tokyo would not act immediately to stem the yen's rise

The dollar sank to a fresh 15-year low against the yen Tuesday, after Japanese Prime Minister Naoto Kan, who has been reluctant to intervene in the market to curb the Japanese currency's rise, fended off a leadership challenge.

TOKYO (Reuters) - Japanese Prime Minister Naoto Kan and Bank of Japan Governor Masaaki Shirakawa may meet as early as next week to discuss the yen's strength and possible responses, although likely options are seen as limited.

Forexyard submits: By Greg Holden