Yen rose in Asian trade on Wednesday against a basket of major rivals, recovering from three-month lows against the dollar after warnings from Japanese authorities.
After yen pierced the 150 barrier against the dollar, Japanese officials asserted their readiness to interfere in support of the currency.
JPY/USD
USD/JPY fell 0.25% to 150.43, with a session-high at 150.78, after losing 1% on Tuesday, the second loss in a row, and the largest since February 2, plumbing three-month lows at 150.88 following strong US consumer prices data.
Such data reduced the odds of a US interest rate cut in March to just 9%, while the odds of such a cut in May tumbled to just 37%.
As interest rates in the US remain high for an extended duration to combat inflation, concerns about the rate gap with Japan grew.
Japanese Warnings
Japanese forex officials warned on Wednesday that authorities are monitoring forex movements closely, and will take necessary measures to support the local currency if needed.
They said the latest moves were too quick and could have a negative impact on the Japanese economy.
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