Yen’s ‘One Sided’ Tumble to 1986 Low Boosts Intervention Risk
- Currency has weakened more than 12% against dollar this year
- Officials watching yen moves with ‘urgency,’ Kanda says
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The yen fell to the weakest level since 1986, fanning speculation authorities may be soon be forced to support the currency again in a bid to stem the worst selloff in the developed world.
The Japanese currency slumped as much as 0.6% to 160.62 per dollar, blowing past where officials intervened in the market in April, and taking losses this year to more than 12%. Against the euro, it dropped to the weakest on record. The depreciation is raising the price of imports, hurting Japanese consumers and causing growing unease among businesses.