Reported 8 months ago
The Japanese yen dropped to its lowest level since 1986 against the US dollar, reaching 160.39 yen on Wednesday. The significant interest rate difference between the US and Japan has been influencing the yen's decline, with traders closely watching for potential intervention from Japanese authorities. The Ministry of Finance and central bank had spent $62 billion previously to support the currency when it fell below 160, but market dynamics continue to pressure the yen. The article also mentions the impact of carry trade strategies, interest rates, and the possibility of a rate hike by the Bank of Japan to potentially support the yen in the future.
Source: YAHOO