Bank of Japan Governor Haruhiko Kuroda said on Wednesday the central bank will not hesitate to ease monetary policy further if recent financial market volatility hurts the economy.
He also said recent rises in the yen are due largely to a broad downtrend in the dollar, which has also pushed up other currencies against the greenback.
"We will continue to carefully watch market developments and won't hesitate to take action if market moves have a negative impact on Japan's economy and prices," Kuroda told the Parliament.