In Tokyo foreign exchange trading on Tuesday, the U.S. dollar edged higher against the yen, changing hands near 159.73 yen as of 3:00 p.m. to gain just over 0.20 yen (20 sen) from 5:00 p.m. on Monday, June 1. Meanwhile, the euro remained virtually flat against the Japanese currency, hovering around the 185.89 yen mark.

The dollar-yen pair initially trended in the lower 159.60 yen zone around 9:00 a.m. before grinding up into the 159.70 yen range during the afternoon session. Global risk sentiment was heavily swayed by fast-moving headlines out of the Middle East; following sustained Israeli airstrikes against the pro-Iranian militant group Hezbollah in Lebanon, Tehran reportedly froze diplomatic talks with Washington on Monday. In reaction, West Texas Intermediate (WTI) crude futures briefly spiked to an intraday high of $94.78 per barrel. The commodity rally partially unwound after U.S. President Trump posted on social media that Israel and Hezbollah had agreed to a ceasefire, while indicating that a memorandum of understanding with Iran "could potentially be realized within the next week or so." Although WTI prices subsequently softened into the low-$91 range during Asian hours on Tuesday, persistent geopolitical uncertainty surrounding Iran continued to underpin the greenback, keeping the pair anchored in the upper 159 yen threshold.

In cross-currency trading, the euro softened against the greenback, sliding approximately 0.0020 dollars to trade near $1.1637 as the U.S. currency drew broader safe-haven support from the geopolitical friction.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.