The yen climbed to an eight-week top versus the U.S. dollar on Thursday after a Bank of Japan policy board member advocated continued interest-rate hikes. The dollar hovered near the lowest level since the start of last week against a basket of peers that includes the yen,

A wild week in the currency markets has left hedge funds heading for the exits on their dollar trades and turning their attention toward the Japanese yen.

The dollar index - which measures the U.S. currency against the euro, sterling, yen and three other major peers - stood at 107.57, not far from its overnight low of 107.29. The in