In the New York foreign exchange market on the 25th, the yen depreciated due to the awareness of the widening of the interest rate differential between Japan and the United States in response to the rise in long-term interest rates due to the view that monetary tightening in the United States will be prolonged, and the yen temporarily fell to the latter half of the 1 dollar = 148 yen range and renewed this year's low.
In the New York foreign exchange market on the 25th, the yen depreciated, and the yen temporarily fell to the latter half of the 1 dollar = 148 yen range, setting a new low this year.
In the United States, long-term interest rates temporarily exceeded 4.53% and rose to the highest level in about 2007 years and 10 months since October 15, due to the widespread view that monetary tightening will be prolonged, as well as the recent economic indicators released.
In response to this, the widening of interest rate differentials between Japan and the United States became conscious, and the movement to sell yen and buy dollars with higher yields intensified.
"Some investors are wary that the Japan government and the Bank of Japan will intervene in the market by buying the yen and selling the dollar in order to stop the yen's depreciation, while if long-term interest rates in the United States continue to rise, the yen may depreciate further," market participants said.