The Japanese yen has fallen to its lowest level since August 18, 1998. At the auction on October 12, the dollar against the Japanese currency in the Forex market rose to a maximum of 0.4% – up to 146.4 yen per dollar.

The yen fell to a new 24-year low amid a widening gap between US and Japanese monetary policies. The US Federal Reserve is aggressively raising rates to curb inflation, while the Bank of Japan keeps them at a minimum level, Bloomberg notes. This encourages investors to choose dollar-denominated assets, whose yield is more attractive than Japanese ones, writes RBC.

Since the beginning of the year, the Japanese currency has depreciated against the dollar by about 27%.