Yen at 7mth low vs dollar, 15yr trough to euro
Divergence of monetary policy boosts dlr, weaken yen
Japan last intervened in October to stem yen weakness
Investors brace for intervention if yen falls to 145

TOKYO, June 26 Reuters Japan is not ruling out any options in responding appropriately to excessive currency moves, its top currency diplomat said on Monday, stepping up warnings against recent yen weakening that was rapid and onesided.

Currencies should move in a stable way, reflecting fundamentals, the government said, after the yen weakened beyond 143 yen on Friday, a sevenmonth low versus the dollar, and fell to a 15year low beyond 155 yen to the euro.

The currency, often perceived as a safehaven asset, is coming under renewed selling pressure, threatening consumers with an import cost spike.

We have all options available and we are not ruling out any, Vice Finance Minister for International Affairs Masato Kanda told reporters when asked whether authorities stood ready to intervene in the market.

I won39;t comment on what to do now.

A monetary policy divergence between the Bank of Japan BOJ and the U.S. Federal Reserve was seen as driving up the dollar, as Japan continues easing while the U.S. central bank has tightened policy aggressively to fight inflation.

The government was closely monitoring the currency market, its top spokesperson said.

It39;s important for the currency market to move stably reflecting fundamentals, Chief Cabinet Secretary…