“The government must be mindful of downside risks to the economy from chip shortages and supply constraints,” Japanese Prime Minister Fumiko Ishida said on Friday.

He added that “the government had no intention of tweaking Japan's sales tax rate from the current 10%.”

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USD/JPY reaction

USD/JPY is bouncing back above 113.50 on the above comments and an uptick in the US Treasury yields. The spot flips to gains, adding 0.06% on the day.