UK faces fiscal crisis, Japan political uncertainty: Impact on yen
The British pound and Japanese yen both took a hit this week.
UK government borrowing costs jumped to their highest level since 1998, making investors uneasy about the country's rising debt. That sent the pound sliding below $1.34 against the US dollar.
Over in Japan, a top aide to Prime Minister Shigeru Ishiba announced his intention to resign, stirring up political uncertainty and adding more pressure on the yen.
Why it matters
When big economies like the UK and Japan face fiscal or political trouble, it can shake up global markets—and may even impact what we pay for imported goods or travel abroad.
Investors are now watching for upcoming US jobs data this Friday for clues about where interest rates might go next, since all these moving parts are connected in today's economy.