BOJ's Hayami says forex must be watched closely

JAPAN - Bank of Japan Governor Masaru Hayami said on Thursday he wanted to closely watch moves in the foreign exchange market, adding the recent rise in the yen was due to caution on the U.S. economy and hopes for a recovery in Japan.

"The yen weakened last year. But since spring, the yen has been rising and the dollar has been falling. People are scaling back their expectations for the U.S. outlook and there are some expectations for our economy," he said in a speech in Tokyo.

He also said con