Yen struggles despite soft US PPI and fading Fed hike bets

The Japanese yen is struggling to gain traction against the US dollar on Thursday, even as the greenback weakens modestly after a softer-than-expected US Producer Price Index reading.

The yen strengthened immediately after the data release, briefly pushing USD/JPY lower, but that move did not hold.

Softer PPI figures are adding to fading Federal Reserve rate-hike bets, yet the yen has not translated that shift into sustained gains against the dollar.

Market focus remains on whether softer US data can give the yen a clearer bid or whether the dollar stays resilient.