Yen Retreats Below 154 Amid Rising Oil Prices and Inflation Risks

The Japanese yen weakened to below 154 per dollar on Friday, retreating from near seven-month highs as the US dollar rebounded.

This came after data showed that US producer inflation accelerated in August, bolstering bets for a Federal Reserve rate hike next week.

The yen also faced pressure from surging oil prices, which kept inflation risks elevated, and tensions between the US and Iran over the war.

In Japan, producer inflation climbed 7.6% in August, reinforcing expectations for a Bank of Japan rate increase this month.