* Stability very important in FX – Finmin Suzuki
* Weak yen is good for exports, but raises costs for families
* Wholesale inflation at 13-year high due to rising costs
TOKYO, Oct 15 (Businesshala) – Japanese Finance Minister Shunichi Suzuki said on Friday that the government would examine the repercussions of the recent yen’s fall, which he described as both pros and cons for the economy.
The dollar hit a nearly three-year high of 113.885 yen against the yen on Friday, partly on expectations inflation risks could prompt the US Federal Reserve to raise interest rates sooner than expected.
Suzuki said at a news conference that a weaker yen raises import costs for some firms and consumers, but helps exporters.
“Stability in currencies is very important,” he said. “We will continue to closely watch money market movements and their impact on the economy.”
Japan’s wholesale inflation hit a 13-year high in September as rising global commodity prices and a weaker yen pushed up import costs, straining corporate margins and increasing the risk of unwanted consumer price hikes. (Reporting by Tetsushi Kajimoto; Writing by Leika Kihara; Editing by Ritsuko Ando and Muralikumar Anantharaman)