USD/JPY flows: Brief dip below 151

USD/JPY followed the overnight weakness led by concern of geopolitical tension escalation between Iran and Israel. It briefly dipped below 151 figure to 150.81 in the Hong Kong opening hours but was reversed as session progress. Despite cabinet officials and Ueda's verbal intervention attempt, market participants seem to be focused on Ueda's remark on "Impact of past rises in import costs on Japanese inflation likely to dissipate", suggesting potentially lower inflation.

U.S. Treasury and JGB yields are rangebound for the session and see USD/JPY slip 0.06% to 151.23.