Yen’s Real Exchange Rate Still Weak, Ex-Currency Official Says

The Japanese yen is still undervalued based on its real exchange rate, despite having risen about 10 percent against the U.S. dollar so far this year, a former Japanese finance ministry official in charge of currency said.

The steep advance in the yen has weighed on Japanese corporate earnings and prompted the country’s finance minister to warn markets earlier this week that Tokyo has the means to intervene.