LONDON—The dollar climbed to a one-month high against Japan’s yen on Monday as traders eyed up another interest rate hike from the Federal Reserve, while the Bank of Japan stuck to its easy-money policies for now.
The dollar rose to 134.22 yen earlier in the session, the highest level since March 15. It was last up 0.19 percent at 134 yen.
Meanwhile, the dollar index—which measures the currency against six major peers—was little changed at 101.66. It touched a one-year low of 100.78 on Friday before rebounding somewhat.
“The dollar has bounced back but also we’ve had comments from the Bank of Japan indicating that there is no real reason for them to pull back from their ultra easy policy,” said Jane Foley, head of FX strategy at Rabobank….