Yen's Slide Continues: Another Intervention Looms

The yen has dropped to its biggest weekly loss in three months after intervention efforts faded. It's currently trading at around 159.43 per dollar, down from near 164 per dollar before July's intervention.

Traders are betting on another round of official buying to stem the rot and see the 160 level as a potential trigger for fresh action. This would be Japan's second round of intervention in a short span, following a previous round in late July and early August.

The yen has lost about half its gains from the earlier intervention and is set to notch its biggest weekly drop since May. The Japanese currency was stable early on Friday but has been falling for years due to low interest rates and government spending concerns.