Yen Plunges to New Monthly Low as US Rate Hikes Loom

The Japanese yen has hit its lowest point in months against the US dollar, reaching 160 per USD. This comes after Federal Reserve Chair Kevin Warsh signaled further interest rate hikes to combat high inflation in the US.

The remarks from Warsh renewed market focus on a potential widening gap between Japan and the US, sending the yen lower. The Japanese currency has been under pressure due to its traditionally low interest rates compared to other major economies.