Federal Reserve Governor Christopher Waller said he would support keeping interest rates unchanged this month if inflation continues to moderate, sharply reducing market expectations for a September rate increase. The US Dollar Index was on track for a 0.7% weekly decline to 99.06, its lowest level since May, while futures implied roughly a 50% chance of a hike at the Fed’s September 16 policy meeting. The yen led currency gains, strengthening about 2.5% to 2.7% for the week and briefly reaching 155.25 per dollar, near the 155.2 level associated with the July U.S.-Japan coordinated intervention. The move was attributed to expectations of a Bank of Japan policy shift rather than direct official intervention. Asian currencies broadly benefited from dollar weakness, while markets awaited the U.S. August nonfarm payrolls report for clues about the Fed’s next move.