139 or 155 yen per dollar? Political questions roil market outlook

TOKYO -- Market players are sharply divided on the yen's outlook for the rest of year, as uncertainties over monetary policy and the political situation in the U.S. and Japan fuel volatility in exchange rates.

"We're still digesting key events last week in Japanese and U.S. monetary policy," said Kazushige Kaida at State Street Bank in Tokyo. The yen touched the 144 range to the dollar on Tuesday in Tokyo, weakening from a more-than-one-year high of 139.50 over a single week.