Yen weakness persists as markets see BOJ falling behind the curve

Carry trades and hedging deepen yen depreciation as intervention offers only brief respite

The Japanese currency has failed to rally despite recent rate hikes and government intervention. (Photo by Rie Ishi)

TOKYO -- The yen is facing persistent selling-pressure, sinking to a multi-decade low against the dollar as structural challenges are aggravated by expectations that Japan will move cautiously with monetary tightening.