Hot US Inflation Drags the Yen Close to 160. Will Japan Step In Again?

The dollar climbed to 159.94 yen early Thursday in Tokyo, its strongest level in more than two months. Hot US inflation data and rising bets on a Federal Reserve (Fed) rate hike drove the move. That leaves the yen just short of 160, a level markets watch for signs of Japanese intervention. Japan spent a record sum supporting the yen this year, but most of those gains have since faded. Why a Hawkish Bank of Japan Isn’t Rescuing the Yen US consumer prices rose 0.4% in October from September, above the 0.23% forecast . The odds of a December 9 Fed rate hike then rose to 100%, CME FedWatch data showed. Fed Governor Christopher Waller had also said a half-point hike should be considered if October inflation ran hot.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to BeInCrypto.