Yen pressured as hawkish central banks widen global rate gaps

The yen is Japan’s currency, and it became weaker against the U.S. dollar.

This happened because investors think interest rates in the United States and other countries may rise faster than in Japan.

Japan’s central bank recently raised rates, but two officials disagreed and wanted a different approach.

That made traders think Japan might not raise rates quickly enough to support the yen.

Japan may also intervene in currency markets to slow the yen’s decline.

Trading was quieter because Japan had a holiday.

Meanwhile, bitcoin climbed above $87,000, its highest level in eight months.

Other currencies were mostly steady, while the Australian and New Zealand dollars reflected different expectations about interest rates.