The yen briefly hits a 34-year low near the 152 line against the U.S. dollar in Tokyo on renewed expectations the Bank of Japan will maintain its accommodative stance even after raising interest rates for the first time in 17 years.
Japan's top currency diplomat Masato Kanda says the yen's fall has been "very rapid" and driven in part by speculative moves, warning the government will respond "appropriately" if required.
The government reduced the fiscal deficit target at 5.1 percent of GDP for FY25. It revised down the fiscal deficit target for FY24 to 5.8 percent from 5.9 percent of GDP.
After its two-day monetary policy meeting, the Federal Reserve revised key forecasts: 2024 median fed funds target rate dropped to 4.6% (from 5.1%) and 2025 rate to 3.6% (from 3.9%)