Why is Japan’s yen so weak against the US dollar?

The weakness of the Japanese currency is back in the spotlight after sinking to its lowest level since April 1990.

The weakness of the Japanese yen is in the spotlight again after its latest tumble.

On Monday, the currency sank to 160.17 against the US dollar, its lowest since April 1990.

The yen recovered to 155.01 per dollar later in the day, prompting speculation that Japanese authorities had intervened to prop up the value of the currency.

The yen weakened slightly again on Tuesday, but held onto most of the previous day’s gain.

The value of a country’s currency rises and falls relative to currencies elsewhere in line with the laws of supply and demand.