Dollar-yen reversed sharply lower during Tokyo trading on the 2nd after reaching 160.39 yen, its highest level in roughly a month. Earlier gains were supported by crude oil prices and a rise in the U.S. 10-year Treasury yield, which briefly reached about 4.81%, its highest level since November 2023. The pair later fell to 159.44 after Bank of Japan board member Hajime Takata said the conventional 0.25 percentage point rate-hike increment was not necessarily fixed and that consecutive increases could ultimately occur. At 5:00 p.m., dollar-yen was around 159.69 yen, down approximately 0.29 yen from the previous day's 159.98 yen. Stop-loss orders near 160 yen accelerated the decline. EUR/JPY also weakened to 184.89 yen, while EUR/USD was nearly unchanged at about $1.1578. Market participants said fiscal concerns in both Japan and the United States remain an underlying driver as traders weigh competing pressures for dollar and yen buying. Central Bank of Ireland governor Gabriel Makhlouf separately said the European Central Bank should be prepared for rate hikes, though the remarks had limited impact on the euro.