Against the backdrop of expectations for a US rate hike, the yen fell to the high-¥159 range. The dollar strengthened to around ¥159.90 in London and approximately ¥159.89 in the New York market, bringing the key ¥160 level into view.
The yen fell against the dollar in the foreign exchange market on the 11th, with the yen weakening and the dollar strengthening to the high-¥159 range. In the London market, it briefly reached around ¥159.90, while the dollar's upward trend continued in the New York market.
Expectations regarding an additional US rate hike strengthened, as October CPI exceeded market expectations and Federal Reserve officials made a series of comments supportive of rate hikes. This is believed to have increased the rate hike priced into the market.
Experts pointed to the upside surprise in US CPI and the hawkish shift in interest-rate expectations, which are believed to have supported pressure on the yen. Although the possibility of a BOJ rate hike has been mentioned, the pace is expected to be slower than in the US and Europe.
Concerns about yen-buying intervention are beginning to spread among market participants ahead of the ¥160 level. The foreign exchange market is expected to move with the risk of intervention after a break above ¥160 in mind, alongside expectations for a rate hike at the December FOMC meeting.