The dollar climbs to a 19-month high as Treasury yields surge following President Trump's remarks on Iran and expectations of a Federal Reserve rate hike next month.
The yen's recent unexpected weakening toward 160 per dollar highlights the growing challenges for investors, with implications for global markets and Japan's economy.
Neil Parker, a leading yen forecaster, predicts the Japanese currency will strengthen to 147 per dollar next year as Japan's interest-rate gap with the US narrows.