Dollar/Yen Pauses at Mid-159 Levels Ahead of U.S. Inflation Data

The dollar/yen pair continued to trade at elevated levels in the Tokyo foreign exchange market on the afternoon of February 12th, stuck within a narrow range centered around 159.40.

The pair inherited momentum from the previous day's overseas session, where the dollar saw buying activity linked to commodity currencies and inflation expectations. However, this trend was reversed in the Tokyo session as NYMEX WTI crude oil futures dipped below $84 per barrel, capping further upside attempts.

As a result, the dollar/yen remained confined to trading within a range of 159.20 to 159.46, with investors adopting a wait-and-see stance ahead of the release of U.S. inflation data, including the Consumer Price Index (CPI), due tonight.