28.01.202616:35:45UTC+00Japanese Yen Slides from 3-Month High

The Japanese yen experienced a decline, surpassing the 153.5 mark against the USD, retreating from an earlier three-month peak of 152.2 reached earlier on Wednesday. This shift followed the US presidential administration's dismissal of rumors regarding a possible joint foreign exchange intervention with Tokyo aimed at bolstering the yen. Speculation that Japan was engaging with the US to halt the yen's depreciation grew after the New York Federal Reserve performed a rate check on the dollar/yen with market dealers last Friday. Concurrently, Japanese officials signaled their close coordination with the US concerning currency policies and potential market actions. Traders remain wary of the possibility of Tokyo's unilateral intervention, even though Bank of Japan data suggests that authorities have not officially intervened in the market up to this point. Nevertheless, the yen has held its ground firmly since January began, driven by US tariff threats against major trading partners that sparked a global aversion to the dollar. Moreover, it is anticipated that the Bank of Japan will continue its interest rate hikes throughout the year.