In the Tokyo market, USD/JPY briefly fell to ¥158.07 before recovering slightly to the ¥158.10 range. US long-term yields and crude oil prices found a floor, and dollar selling appeared to have temporarily subsided.
In morning trading on the 12th, USD/JPY fell to ¥158.07 before recovering slightly to the ¥158.10 range. Including movements in off-hours trading, USD/JPY traded in the ¥158.07–¥158.40 range, EUR/JPY in the ¥177.18–¥177.35 range, and EUR/USD at 1.1193–1.1217.
US long-term yields and crude oil prices appeared to have found a floor, and views spread that dollar selling had paused. Meanwhile, concerns over French fiscal conditions strengthened risk aversion, easing yen selling and limiting the upside in cross-yen pairs.
Recent market sentiment, including the trading ranges following the day's movements, may provide a basis for assessing future developments.