Dollar Stumbles After Japan's Suspected Intervention

The US Dollar (USD) struggled to regain momentum on Friday after a sharp sell-off driven by suspected intervention by Japanese authorities to curb excessive weakness in the Yen (JPY).

The USD/CHF pair trimmed part of its earlier gains, trading around 0.8086 at the time of writing, down from an intraday high of 0.8128.

According to strategists at Brown Brothers Harriman, 'the USD rally from May has run its course,' with the DXY poised to retreat into a 96.00-100.00 range.

The US Treasury informed several banks on Friday that it may intervene in the Yen market and advised them to 'stand ready for future action.'