Yen plunges as new prime minister and Bank of Japan dim rate hike hopes

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Yen plunges as new prime minister and Bank of Japan dim rate hike hopes
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The currency saw its sharpest daily drop in more than two years.

The yen plunged after Japan’s new prime minister, Mr Shigeru Ishiba, said the economy isn’t ready for another interest rate hike from the central bank.- The yen plunged after Japan’s new prime minister, Mr Shigeru Ishiba, jolted currency markets by saying the economy is not ready for another interest rate hike from the central bank.

Against the Singapore currency, the yen was trading little changed at 113.2490 as at 4.45pm Singapore. Now, with the BOJ likely to hold off on rate hikes that might undercut the new administration, the outlook for the Japanese currency is souring.

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