Japanese yen tumbles to fresh 24-year low around 135.60 to dollar

© Kyodo News

The Japanese yen hit a new 24-year low against the U.S. dollar during early trading on Wednesday, briefly falling to around 135.60 on expectations of a further widening in the interest rate gap between Japan and the United States.

On the stock market, the benchmark Nikkei index fell in the morning as investors feared a slowdown in the U.S. economy amid prospects that the Federal Reserve will be more aggressive in its rate hikes to fight high inflation.

The 225-issue Nikkei Stock Average shed 194.85 points, or 0.73 percent, from Tuesday to 26,435.01. The broader Topix index was down 13.45 points, or 0.72 percent, at 1,865.00.

On the top-tier Prime Market, decliners were led by mining, oil and coal product, and precision instrument issues.