The yen briefly fell to ¥135 against the US dollar for the first time since February 2002 on Monday, as the currency’s plunge drew increasing scrutiny from Japanese authorities wary of its rapid weakening.
After a week of breaking 20-year lows, the yen had spent the weekend at about ¥134.40 against the dollar, teetering on the ¥135 line and edging closer to a 24-year low.
But in the opening hours of Tokyo trading, the yen fell further as traders bet that the Bank of Japan will choose to remain the only major central bank with an ultra-loose monetary policy, with its counterparts in the US and Europe entering an interest-rate raising cycle.
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