Dollar weakness against the yen follows softer US jobs data and Fed Chair remarks, with traders wary of potential Japanese intervention.
USD/JPY pulled back from a high of 162.84 after opening near 161.78, driven by dollar weakness. The move followed comments from Fed Chair Kevin Warsh and softer US employment data, which weighed on the greenback.
Earlier, the pair tested multi-decade highs, but intervention risks from Japanese authorities capped further gains. Market participants remain cautious amid expectations of potential currency market action by Tokyo.
Traders are monitoring Fed policy signals and economic data for further direction, with the yen’s sensitivity to intervention keeping volatility elevated.