MAYASIA BUSINESS OUTLOOK8Japanese officials appear to have intervened significantly in the currency market, as data from the Bank of Japan suggests they spent approximately 3.66 trillion yen ($23.59 billion) on Wednesday alone. This action follows an earlier intervention on Monday, where it's estimated that the Ministry of Finance spent around 6 trillion yen to support the yen after it hit its lowest level against the dollar in nearly 34 years.Despite these interventions, the yen's value experienced fluctuations. On Wednesday, it traded around 157.55 per dollar before suddenly spiking, strengthening to as high as 153 over the following half-hour period. The Ministry of Finance has refrained from confirming whether it was behind these rallies, reiterating its readiness to intervene as needed to prevent disorderly market movements.With currency trades taking two business days to settle and public holidays approaching in Japan on May 6 and May 7, the situation remains dynamic. The Bank of Japan's projection for money market conditions on May 8 suggests a net receipt of funds totaling 4.36 trillion yen. This contrasts with estimates from money market brokerages, which exclude intervention-related factors and range from 700 billion to 1.1 trillion yen.Shoki Omori, chief Japan desk strategist at Mizuho Securities, highlighted the significant magnitude of the intervention, particularly given the short timeframe within which it occurred, spanning two apparent rounds of intervention over the week. NEWSROOMJAPANESE MINISTRY SPENDS JPY 3.66 TRILLION TO COMBAT DROPPING CURRENCY VALUESoftBank Group of Japan is reportedly in discussions to acquire Graphcore, an AI chipmaker, according to sources familiar with the matter, as reported by Bloomberg News on Wednesday. These negotiations, which have been ongoing for several months, have recently progressed to a more advanced stage. However, the financial terms of the potential deal have not yet been finalized, and there is still a possibility that the talks may not result in an agreement.Both SoftBank and Graphcore have declined to comment on the reported discussions. Graphcore, headquartered in the UK, stated last year in a forecast extending through 2027 that it would need to secure additional funding to achieve profitability. This necessity arises partly due to the dominance of Nvidia in the field of AI, which has resulted in reduced funding opportunities for startups seeking to compete directly with Nvidia.As of now, the outcome of the negotiations between SoftBank and Graphcore remains uncertain. SOFTBANK LOOKING TO ACQUIRE AI CHIPMAKER GRAPHCORE
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