Japanese Yen Weakens After Historic Rate Hike, US Inflation Surprise
The yen logged its weakest close in nearly two years as US inflation hit a fresh cycle high, raising the risk of currency intervention by Japanese authorities.
USDJPY
The Japanese yen recorded its weakest closing level in almost two years on the same day US inflation printed a new high for the current cycle. Market participants focused not only on the price action but also on the absence of any official response from Tokyo.
The session's most notable aspect was what did not happen—no immediate intervention was reported despite the yen breaching levels that previously triggered official action. A historic rate hike by the Bank of Japan has failed to support the currency against a resurging US dollar.
Source: FXStreet Forex News