Dollar Weakens as Japan Touts Possible Yen Intervention

The US dollar weakened against several major currencies on Thursday, including the Japanese yen. Traders suspect that the Bank of Japan intervened in the market to prop up the yen's value.

Data released earlier showed that U.S. inflation slowed in June, a day after the Federal Reserve left interest rates unchanged. This had led some investors to hope for a rate hike, but the Fed decided against it.

The Japanese finance ministry was not available for comment on the possible intervention.

Juan Perez, senior director of trading at Monex USA in Washington, said that the sharp move in the yen's value 'means that there's some sort of intervention.' He noted that the yen is a stable currency and such a significant movement suggests external influence.