Yen Struggles to Hold Intervention Gains, Drifts Toward 158

The Japanese yen is losing its footing on Thursday, sliding back toward the 158 per dollar mark after a sharp rally sparked by a rare coordinated intervention by Japan and the US. The operation had pushed USD/JPY down by around 4.5% from its recent peak.

However, those gains are now fading, underscoring the difficulty of sustaining intervention-driven moves without a shift in underlying yield differentials. The dollar is ticking higher as markets await fresh macro cues.

Traders are eyeing the 158 handle; a break above could accelerate the unwinding of the intervention bounce.