Yen Weakness Persists as Markets Eye Bank of Japan Rate Hikes

The yen has hovered around 159.37 per U.S. dollar, inching closer to the crucial 160 level that could trigger another intervention by Tokyo.

The Bank of Japan spent billions propping up the currency in April-May and July, but its weakness persists due to interest rate differentials between Japan and other major economies.

Market players believe the BOJ will raise rates in September, and what's crucial is for the central bank to communicate a faster pace of hikes, according to Tokyo's former top currency diplomat Mitsuhiro Furusawa.