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Cablegate: Tokyo Media Reaction - G7

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PP RUEHFK RUEHKSO RUEHNAG RUEHNH
DE RUEHKO #4881 2920203
ZNR UUUUU ZZH
P 190203Z OCT 07
FM AMEMBASSY TOKYO
TO RUEHC/SECSTATE WASHDC PRIORITY 8720
RUEKJCS/SECDEF WASHDC PRIORITY
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RUEATRS/DEPT OF TREASURY WASHINGTON DC PRIORITY
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RHMFIUU/HQ PACAF HICKAM AFB HI//CC/PA// PRIORITY
RUHBANB/OKINAWA FLD OFC US FORCES JAPAN CP BUTLER JA PRIORITY
RHMFIUU/USFJ PRIORITY
INFO RUEHFK/AMCONSUL FUKUOKA 3837
RUEHNH/AMCONSUL NAHA 6247
RUEHNAG/AMCONSUL NAGOYA 2738
RUEHKSO/AMCONSUL SAPPORO 4542
RUEHOK/AMCONSUL OSAKA KOBE 7502
RUEHBJ/AMEMBASSY BEIJING 9614
RUEHMO/AMEMBASSY MOSCOW 1929
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RUCNDT/USMISSION USUN NEW YORK 6511
RHEHAAA/NSC WASHDC

UNCLAS TOKYO 004881

SIPDIS

SIPDIS

STATE FOR I/RF, PA/PR/FPC/W, IIP/G/EA, EAP/PD, R/MR,
EAP/J, EAP/P, PM;
USTR FOR PUBLIC AFFAIRS OFFICE;
TREASURY FOR OASIA/IMI;
SECDEF FOR OASD/PA;
CP BUTLER OKINAWA FOR AREA FIELD OFFICE;
PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR

E.O. 12958: N/A
TAGS: OIIP KMDR KPAO JA
SUBJECT: TOKYO MEDIA REACTION - G7


LEAD STORIES: Top stories on Friday morning included a
Pentagon statement denying allegations that Japanese
fuel was diverted to US Navy vessels engaged in
operations in Iraq.

"G7 Should Remove Distrust" The liberal Tokyo Shimbun
editorialized (10/19): "...The subprime loan problem
will be the major focus of the upcoming G7 meeting. G7
nations need to make every effort to stabilize the
market by conducting in-depth discussions addressing
such issues as the impact on the world economy, the
prospect of settlement of the subprime loan crisis, and
the reliability of rating firms that evaluated housing
loan products. The US, Japan, and Europe should
coordinate their views about cooperative measures,
including potential interest rate cuts, in order to
prepare for a possible credit crunch... G7 nations plan
to meet with managers of sovereign wealth funds. Their
discussion should be aimed at increasing transparency
in their management in order to avoid unnecessary
confusion in the market."

SCHIEFFER

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