Dollar strength and yen weakness slightly prevailed in today's Tokyo market, with USD/JPY briefly reaching 158.22. After rebounding in the morning session, it continued trading in the 158 range and at times moved toward the highs again in the afternoon session.
In the morning, USD/JPY traded mainly in the upper half of the 157 range against a backdrop of continued pressure for dollar strength, but the dollar strengthened in the afternoon and temporarily rose to 158.22. With the firm market tone continuing, the dollar was supported and yen selling prevailed.
The US 10-year Treasury yield rose from around 5.304% in the morning to 5.3239% in the afternoon, while NY crude oil futures rose from the $89 range to $90, among other developments in risk assets that supported dollar buying.
As the London market entered its main trading hours, the 10-year Treasury yield plunged and moved below 5.30%. NY crude oil also at times fell into the $88 range.
The dollar's momentum then paused against factors including a retreat in euro buying, but reports on Governor Ueda's remarks were widely viewed as a factor for yen weakness, and USD/JPY updated the day's high at 158.24. EUR/USD and GBP/USD also followed a similar trend.