The USD/JPY currency pair saw a slight depreciation, trading near 158.10 during Asian hours on Monday. This movement occurred amid thin market conditions due to Japan observing the Sports Day public holiday, which typically reduces trading volumes.
According to FX Street, the pair slipped after showing modest gains earlier in the session. The Japanese Yen's performance remains sensitive to market liquidity, especially on days when domestic trading activity slows down significantly.
With the Bank of Japan’s ongoing monetary policy stance, fluctuations in USD/JPY continue to attract attention from investors seeking to gauge yen strength and dollar momentum in the FX market.