The Japanese government is studying adjustments to the utilization of approximately $1.3 trillion in foreign exchange reserves to enhance asset returns, according to a growth strategy draft viewed this Wednesday. This move follows recent intervention pressure; in late April, after the USD/JPY pair broke above the 160 level, Japan spent around $73 billion to buy yen, which resulted in a 5.6% drop in foreign exchange reserves in May. The intervention effect was limited, as the USD/JPY pair rose again to near 161.70 during Wednesday's European session. Finance Minister Kaori Yosano held an online meeting with U.S. Treasury Secretary Janet Yellen to discuss the yen's depreciation. Prime Minister Sanae Takaichi previously stated that the yen depreciation made the reserves "perform very well," with some officials believing she may intend to use related gains to support suspending the food consumption tax. However, officials remain cautious, as insiders noted that the core function of the reserves is to provide funds for currency intervention, making significant reallocation impractical. The specific direction of the adjustment in the current draft has not been disclosed.