The yen experienced a decline after the Bank of Japan (BOJ) hinted at maintaining its accommodative monetary policy. This contrasts with the tightening measures being adopted by other central banks globally.

Market analysts suggest that the BOJ’s commitment to its current policy framework is contributing to the yen’s weakness. The central bank’s yield curve control policy, which aims to keep interest rates low, is seen as a key factor.

The BOJ’s decision reflects its concern about the fragility of the Japanese economy and its desire to support growth. However, the weaker yen could lead to higher import costs, potentially fueling inflation.

Investors are closely monitoring the BOJ’s actions and statements for further clues about its future policy direction. The yen’s trajectory will likely depend on the BOJ’s evolving assessment of the economic outlook and inflation risks.