MESEBERG, Germany, May 4 (Reuters) - Japan is watching moves
on the foreign exchange market and will act if necessary,
Japanese Prime Minister Shinzo Abe said on Wednesday after
meeting Germany's Angela Merkel to prepare for an end-May
meeting of the Group of Seven (G7) economic powers.
"We are observing the currency market and if necessary we
will then have to act," Abe said, adding that Japan had seen
speculative moves in the market.
Merkel said there are no winners from competitive currency
devaluations, adding that the "comparative stability of
currencies to one another is of great value."