The Japanese yen fell to a 16-year low against the euro on Wednesday as the Bank of Japan indicated that monetary policy would remain loose even after shifting out of its negative interest rate environment.
The unit hit 164.48 per euro — its weakest since 2008 — as the difference between European Central Bank rates and the BoJ remained wide enough to prevent traders shifting their focus to Japan.
The bank announced the rate hike on Tuesday — the first in 17 years — along with the scrapping of its control of bond yields and the purchase of risk assets as it moved away from years of its ultra loose monetary policy.—APP
