The yen recovers slightly near 161.00 after the dollar’s five-day winning streak ends despite hawkish Fed signals.
The USD/JPY pair dipped to 161.00 on Friday, retreating from Thursday’s two-year peak of 161.81 as the US dollar’s rally stalled. The yen remains under pressure amid speculation of potential intervention by Japanese authorities to support the currency.
The dollar’s pullback follows a five-day advance driven by the Federal Reserve’s policy meeting, where Chair Kevin Warsh announced streamlined communications and new task forces. Meanwhile, Bank of Japan Governor Kazuo Ueda is set to resume duties on June 23 after missing the latest meeting due to health reasons.
Technical indicators show USD/JPY holding above key moving averages, with the RSI suggesting a bullish near-term bias despite the slight decline.