Dollar Tumbles, Yen Soars Amid Rate Hike Bets and Intervention Rhetoric

The US dollar declined on Friday as oil prices eased, but was set for a second straight weekly advance due to growing rate hike bets.

The dollar index fell 0.3% and was on track for its biggest daily percentage drop in about three weeks, to 100.95.

Eugene Epstein, head of trading and structured products at Moneycorp, said the dollar's recent rally might be 'a little stretched', but added that it wasn't weakening materially today.

The yen strengthened 1.06%, on pace to snap a four-day streak of declines, after Japan's Finance Minister Satsuki Katayama confirmed US President Donald Trump's concern about yen weakness during a summit with Japanese Prime Minister Sanae Takaichi earlier this week.