JPY/USD: Japan’s Yen Drops to New 34-Year Low as BOJ Keeps Key Rate Unchanged

The yen’s relentless decline continued after the Bank of Japan Governor Kazuo Ueda indicated that monetary policy will stay easy for now, with the currency touching a fresh 34-year low versus the dollar.

It extended declines to 0.8% to 156.82 per dollar as Ueda said little to support the yen at a news conference after the BOJ earlier kept its key interest rate unchanged. The extended slump has heightened speculation that authorities may intervene in the market as soon as today, with further risks to come later when data on the Federal Reserve’s preferred inflation gauge is released.