Ella 
USD/JPY continues to fall, approaching 151.20 in Asia on Monday. The move came after the Bank of Japan (BOJ) released minutes of its January policy meeting. Bank of Japan board members acknowledged that achieving the central bank’s inflation target is increasingly likely, albeit gradually.
In addition, members discussed the possibility of taking measures if a virtuous cycle in wages and inflation is confirmed. Some policymakers noted that the risk of inflation rising sharply above expectations has diminished.
Additionally, the Japanese yen may find support from potential FX intervention. Japan’s top official in charge of foreign exchange affairs, Makoto Kanda, warned that he intended to take appropriate action to deal with excessive yen weakness, but did not rule out taking any measures.
The U.S. dollar index (DXY) remains weaker despite rising U.S. Treasury yields. However, the dollar rose sharply after Atlanta Federal Reserve President Raphael Bostic made hawkish comments on Friday. Citing persistent inflation and stronger-than-expected economic data, Bostic revised his earlier forecast of two interest rate cuts this year and now expects only one rate cut.
Nonetheless, the dollar may face downward pressure on expectations that the Federal Reserve will start its easing cycle in June. Despite the rise in inflation, the Fed’s concerns have subsided, with Fed Chairman Jerome Powell assuring markets that the central bank will not rush into action after two straight months of rising inflation data.
