Asian Currencies Trade in Tight Ranges Ahead of Fed Meeting

The Asian currency market was quiet on Tuesday as the US dollar hovered near its one-month high. The USD/JPY pair barely moved, holding steady at 163.72 yen, while investors waited for guidance from the Bank of Japan's decision this Friday.

The Japanese yen remains pinned near multi-decade lows despite repeated verbal intervention by policymakers to arrest its decline.

Meanwhile, hopes for a diplomatic breakthrough between the US and Iran eased fears of another energy-driven inflation shock, causing oil prices to soften. This tempered inflation concerns, but investors remain cautious ahead of this week's Federal Reserve meeting on Wednesday.