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Robin Brooks comments that Japan's finance minister has called on the country's massive Government Pension Investment Fund (GPIF) to repatriate funds.
According to Brooks, this move is similar to a foreign exchange intervention and likely to be just as ineffective. He notes that such actions are typically one-time measures and are unable to counteract the ongoing depreciation pressure caused by artificially low interest rates.
Brooks has recently focused on international market risks. He expects Brent crude prices to remain in the $80-90 range due to war-related risks and a persistent risk premium. In a separate note, Brooks highlighted that oil prices have reverted to pre-war levels, though he sees continued mispricing in markets.