THE Japanese yen continues to strengthen against the U.S. dollar in the Tokyo foreign exchange market, surpassing 143 yen per dollar on Monday.
This appreciation of the Japanese yen followed the announcement of Bank of Japan or B.O.J. last Wednesday of a policy rate hike to 0.25 percent.
B.O.J. Governor Kazuo Ueda did not rule out a possible additional rate hike within this year, prompting increased yen buying and dollar selling in the forex market.
Meanwhile, the Tokyo Stock Exchange declined on Monday afternoon, with the Nikkei 225 index dropping over 2,900 points from the previous day’s close.
Market watchers attributed the sharp drop in the Tokyo stock market to growing concerns over the slowing U.S. economy.
Recent economic data from the United States suggests a potential slowdown has negatively impacted investor sentiment.
