Dollar/Yen Rangebound Amid Intervention Fears

The dollar/yen pair continued to hover in a narrow range on Tokyo trading days, stuck between 163 and 164 yen. The market lacked clear direction due to various cross-currents, including the Federal Reserve's monetary policy outlook and speculation over an additional rate hike by the Bank of Japan.

Additionally, concerns about potential currency intervention by Japanese monetary authorities restrained excessive yen selling. As a result, dollar buying momentum subsided as oil prices stabilized and U.S. interest rates paused their rise.

The euro/yen also showed similar price action, falling to 186.26 yen before rebounding to 186.54 yen, but is now struggling around 186.48 yen.