Dollar-Yen Recovers Amid Oil Price Pause

The dollar-yen pair recovered in Tokyo foreign exchange trading on the 13th, rising to 159.43 yen as of noon.

This was after a brief decline in WTI crude oil futures in after-hours trading had put pressure on the pair, but the sell-off paused when prices briefly dipped into the $81 range.

The U.S. 10-year Treasury yield holding at a relatively firm 4.67% level is supporting the yen-selling bias driven by the Japan-U.S. interest rate differential.

Market participants note that the pause in the oil price decline has eased downward pressure on dollar-yen, but intervention caution tends to intensify as the pair approaches the upper-159 yen range, keeping the upside heavy.