Japan’s yen falls to weakest in almost 16 years versus pound

The yen slumped to its weakest level in almost 16 years against the British pound, renewing concern over a currency depreciation that has dogged policymakers this year.

The Japanese currency slid 0.1% touching 200.56 per pound, its weakest level since August 2008.

The latest leg of the move comes as carry traders look to harvest extra returns pile into currencies such as sterling, where yields are far higher. The yen has the lowest interest rate in the world and has tumbled this year versus all of its Group-of-10 peers.

Japanese authorities are suspected of having intervened in the market on two occasions since late April to support the currency. While the Bank of Japan has raised interest rates once and is slated to do so again, investors say monetary policy remains far too loose to stem the currency’s decline. –BLOOMBERG