Japan business leaders concerned over weaker yen after BOJ decision

Business leaders in Japan have increased calls on the country's central bank to make an adjustment after the yen fell further against the dollar on Friday. The drop followed a decision by the Bank of Japan to leave its monetary policy unchanged.

The BOJ decided to stick with the policy it made in March, when it lifted short-term rates to a range of zero to 0.1 percent. The bank says it will maintain the target.

BOJ Governor Ueda Kazuo said at a news conference on Friday that the weaker yen has not had a major impact on Japan's basic inflation rate.

He reiterated the view that the BOJ is expected to continue its easy monetary policy for the time being.

Ueda also said that if the impact of the weaker yen on overall prices reaches a level that cannot be ignored, it will be considered or possibly used as a basis for making decisions in terms of monetary policy.

But his comment was not taken as a strong message to keep the yen's depreciation in check, and prompted investors to sell the currency.

As the yen continues to hit a 34-year low, traders are paying close attention to possible market intervention by the government and the BOJ.