Traders avoid aggressive bets on the yen amid speculation of Japanese authorities stepping in near the USD/JPY 160.00 level.
The British pound weakens against the Japanese yen, trading near the mid-214.00s and down 0.15% on the day. Selling pressure persists for the second consecutive session, though follow-through remains limited.
Market focus centers on the USD/JPY pair, which hovers near the critical 160.00 mark, fueling expectations of potential Japanese intervention to support the yen. Concerns over Middle East tensions and supply disruptions further dampen sentiment, while BoE rate hike expectations soften, capping GBP gains.
The yen finds modest support from growing bets that the Bank of Japan may raise interest rates at its June meeting, though traders remain cautious amid broader economic uncertainties.