The Japanese yen weakened to around 155 per dollar on Monday, reversing gains from the previous session after comments from Bank of Japan Governor Kazuo Ueda.
Japanese yen further weakens against the dollar
The BOJ chief reaffirmed the bank's stance on gradually raising interest rates if the economy evolves as expected but refrained from offering specific timelines for any rate hikes. Ueda also noted that the bank is closely monitoring various risks, including developments in the US economy. On Friday, the yen had surged over 1% following Finance Minister Katsunobu Kato's remarks, suggesting potential intervention if the yen depreciates too rapidly. This followed a drop to a near four-month low as uncertainty surrounding the BOJ's rate-hike trajectory mounted.
US dollar up on Fed cuts expectations
Meanwhile, the US dollar has strengthened, buoyed by expectations of fewer Federal Reserve rate cuts and optimism surrounding the US economy under a potential Trump administration.
