The Japanese yen has been hovering near its lowest point since 1986, but its performance for the month is still better than other G10 currencies.

The Japanese yen stopped just one step away from its lowest point in forty years, but unexpectedly became the best-performing G10 currency against the US dollar so far this month. The yen fell 1.6% against the dollar, compared to the euro which fell 2.5%, the Australian dollar which fell 3.9%, and the Norwegian krone which fell over 6%. Despite still being at historic lows, traders are hesitant to bet on the yen falling further considering the possibility of intervention by Japan around 161.95. If it breaks below this level, the yen will test its lowest level since December 1986. Meanwhile, the US dollar has been strengthening, coupled with a more hawkish stance from the Federal Reserve, putting pressure on other currencies. Optimism in the market about reaching a lasting agreement to end the conflict with Iran has also brought oil prices back down to levels before the Iran war.