Yen Weakens as Asian Currencies Trade Mixed Amid US-Iran Tensions

Asian currencies traded mixed on Tuesday as investors awaited fresh developments on proposed U.S.-Iran negotiations, while the Japanese yen weakened slightly after rallying on last week's coordinated U.S.-Japan currency intervention.

The yen's pair rose 0.3% to around 157.7 per dollar, giving back a small portion of its recent gains after soaring nearly 5% over the previous three sessions.

Traders remained wary of further official action after Tokyo and Washington confirmed they had jointly intervened to support the currency for the first time in decades, with U.S. Treasury Secretary Scott Bessent saying that the U.S. would not hesitate to participate in further coordinated intervention if currency markets become disorderly.

The conflicting signals kept traders cautious despite easing oil prices, limiting broader moves across Asian foreign exchange markets.