Group of Seven policy makers roiled the currency markets they sought to calm amid conflicting messages on how much of an economic threat is posed by the weakening yen.

The yen whipsawed as the G-7 appeared at first yesterday to signal joint acceptance of the Japanese currency's recent drop, only to see its members offer contradictory interpretations of the group's stance. One G-7 official said there's concern about excessive moves in the yen, while the U.K. said the group wasn't singling out an individual country or exchange rate.

The confusion will keep the spotlight on the threat of a so-called international currency war and Japan's push for monetary stimulus when finance ministers from the Group of 20 gather this weekend in Moscow. Tensions may also constrain the type of stimulus that the Bank of Japan considers under its incoming leadership team, according to Barclays Capital.