Markets

Dollar Slips below 150 Yen for 1st Time in 2 Months

REUTERS/Florence Lo/Illustration/File Photo
Banknotes of Japanese yen and U.S. dollar are seen in this illustration picture taken September 23, 2022.

Jiji Press

17:23 JST, February 20, 2025

Tokyo, Feb. 20 (Jiji Press)—The dollar briefly fell below ¥150 for the first time in about two months in Tokyo trading Thursday, reflecting a wave of yen buying on speculation of an early interest rate hike by the Bank of Japan.

At 5 p.m., the U.S. currency stood at ¥150.15-17 , down from ¥151.65-66 at the same time Wednesday.

Meanwhile, the benchmark 10-year Japanese government bond yield rose to 1.440 pct, the highest level since November 2009.

At a press conference on Wednesday, BOJ policymaker Hajime Takata reiterated the Japanese central bank’s intention to implement gradual rate hikes.

“The yen may further strengthen against the dollar as the BOJ continues its policy of raising interest rates while other major countries, including the United States, are cutting interest rates,” said an official at a foreign exchange margin trading service provider.

On Thursday, the yen was also pushed up by risk-averse buying as Japanese stocks dropped amid concerns over U.S. President Donald Trump’s tariff-policies.

The benchmark Nikkei 225 average closed down 486.57 points, or 1.24 pct, from the previous day at 38,678.04 after losing nearly 700 points at one point, dragged down mainly by export-related issues.