TOKYO - The yen dropped to its weakest level against the US dollar since July 2024, as losses accelerated following speculation that Prime Minister Sanae Takaichi may soon call a snap election.

The Japanese currency fell as much as 0.5 per cent to 158.91 per dollar on Jan 13, surpassing the previous low of 158.87 in January 2025.

The Nikkei share index, meanwhile, jumped as much as 3.6 per cent as local media said Ms Takaichi plans to dissolve parliament when it reconvenes on Jan 23, setting up a for general election as soon as Feb 8.