USD/JPY returned to the ¥160 range for the first time since 31 July. As the dollar's upward trend driven by the Fed chair's speech continues, caution over additional yen-buying intervention has intensified in the Japanese market.
USD/JPY rose as high as ¥160.02, returning to the ¥160 range for the first time since 31 July. The market has refrained from actively buying at this level, and caution remains strong.
The move was driven by the dollar's upward trend following a speech by Fed Chair Warsh, while movements in U.S. long-term interest rates have also had an impact. The U.S. 10-year Treasury yield rose to the 4.70% range.
At this juncture, caution over additional intervention by the Bank of Japan is increasing, while real-demand transactions remain cautious.