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Yen’s Slide to 24-Year Low Deepens on Widening Rates Gap

  • Japan’s currency worst performing G-10 currency this year
  • Widening yield gap between US and Japan supports the greenback
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Yen Down Almost 15% This Year
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The Japanese yen fell to a fresh 24-year low against the dollar as one of the worst US bond selloffs in decades widened the gulf in interest rates between the US and Japan.

The currency breached the 135.19 mark for the first time since 1998 and traded around 135.25 in early Wednesday trading Tokyo. Treasury yields continued their rise overnight and traders have speculated that the yen could go on to test other key thresholds -- like the 140 level -- if officials don’t intervene to halt its decline.