Yen Tumbles to 2-Week Low over Trump Tariff Letter

   Tokyo, July 8 (Jiji Press)--The yen tumbled to a two-week low around 146.50 per dollar on Tuesday after U.S. President Donald Trump said in a letter to Japanese Prime Minister Shigeru Ishiba that his country will impose a 25 pct reciprocal tariff on goods from Japan, higher than the 24 pct he announced in April.
   At 5 p.m., the dollar stood at 146.03-04 yen, up from 145.19-20 yen at the same time Monday. The euro was at 1.1759-1760 dollars, up from 1.1744-1745 dollars, and at 171.73-75 yen, up from 170.52-53 yen.
   Trump's tariff letter prompted yen selling, as speculation grew that Japan's trade deficit could expand, and that an economic slowdown could make it difficult for the Bank of Japan to raise interest rates, market sources said.
   The Japanese currency was also dampened against the dollar by a rise in U.S. Treasury yields amid concerns that Trump's tariffs could rekindle inflation in the United States, they said.
   On the Tokyo Stock Exchange, the benchmark Nikkei 225 average closed at 39,688.81, up 101.13 points from Monday's closing, with export-oriented stocks supported by the weaker yen.

(2025/07/08-17:37)

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