USD/JPY Drops Below 101 on Lower U.S. Treasury Yields

Lower U.S. Treasury yields held the dollar near a 3-1/2-month low against the yen early on Wednesday, with markets looking for potential catalysts from the Bank of Japan’s governor later in the day.

The dollar stood little changed at 101.33 yen, within striking distance of 101.10 hit on Monday, its lowest since Feb. 5. The dollar has shed roughly 1 percent against the yen so far this month, nudged lower by a steady decline in U.S. yields.

U.S. Treasuries received their latest boost on Tuesday after New York Federal Reserve President William Dudley said the central bank would likely be slow in raising interest rates.


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