The yen broke through 155 to the dollar, the Japanese currency’s weakest level since late July and was last at 154.88 yen to the dollar.
Wholesale inflation in Japan accelerated in October at the fastest annual pace in more than a year, complicating the Bank of Japan’s decision on when to raise interest rates.
The US dollar is approaching a six-and-a-half month high against other major currencies on Wednesday and the Japanese yen fell to its lowest level since July, driven by so-called Trump deals ahead of key US inflation data.
The dollar is reaping the benefits of Republican Donald Trump’s victory in the US presidential elections last week, which pushed the US currency to its highest level since May 1 at 106.21 against a basket of currencies.
Investors are taking into account tax cuts and new trade tariffs under the next administration, measures seen as inflationary and could prompt the Federal Reserve to limit the extent to which interest rates can be eased.
