Yen falls to upper 136 zone vs. dollar, lowest in 24 years

The yen slipped to the upper 136 level against the U.S. dollar in New York trading Tuesday, marking a 24-year low amid speculation of widening interest rates between Japan and the United States.

At 5 p.m., the dollar traded at 136.64-74 yen, up from 135.22-23 yen at 5 p.m. Tuesday in Tokyo. The euro was quoted at $1.0530-0540 and 143.90-144.00 yen against $1.0556-0558 and 142.74-78 yen late Tuesday in Tokyo.

The yen fell to the 136 level in London trading amid selling of the currency in anticipation of wider interest-rate differentials between the two countries, dealers said.

The weakness of the yen versus the dollar continued in New York trading, with the yen losing further ground.

Earlier Tuesday, Prime Minister Fumio Kishida backed the Bank of Japan's ultraeasy policy, saying monetary authorities should maintain the current accommodative stance to bolster the economy hit by the coronavirus pandemic.

In contrast, the U.S. Federal Reserve is seen as eager to tighten its monetary grip with aggressive interest-rate hikes toward the year's end to tame soaring inflation.

© Kyodo News