TOKYO, June 30 (Xinhua) -- The Japanese yen sank to the lower 162 zone in Tokyo on Tuesday, marking its weakest level in almost 40 years.
After hitting in New York its lowest level overnight since December 1986 amid expectations of Federal Reserve interest rate hikes this year, the Japanese currency further weakened to the lower 162 range in Tokyo trading.
Japanese Finance Minister Satsuki Katayama warned earlier in the day that the government is "always" ready to act when necessary in response to the yen's drop against the dollar.
On the stock market, the benchmark Nikkei stock index, the 225-issue Nikkei Stock Average, ended up 594.21 points, or 0.86 percent, from Monday at 70,062.32.
The broader Topix index, meanwhile, finished 12.76 points, or 0.32 percent, higher at 3,994.76.
Stocks tracked overnight Wall Street gains, with the benchmark Nikkei briefly gaining nearly 1,200 points amid easing concern over the Middle East conflict after reports that the United States and Iran had agreed to halt attacks.
However, some selling kicked in later as overheating concerns persisted. Fears that the yen's weakness would lift import costs and weigh on earnings also pressured the market, analysts said. ■
