• The Japanese Yen fails to build on the previous day's recovery from a multi-month low.
• The BoJ rate-hike uncertainty and the risk-on mood cap gains for the safe-haven JPY.
• Renewed USD buying interest and elevated US bond yields offer support to USD/JPY.

The Japanese Yen (JPY) struggles to attract any meaningful buyers on Friday and seesaws between tepid gains/minor losses against its American counterpart heading into the European session. The recent verbal intervention from Japanese authorities turns out to be a key factor lending support to the JPY, though doubts over the Bank of Japan's (BoJ) ability to hike interest rates further cap gains.

Meanwhile, hopes that Trump's policies will spur growth and inflation, to a larger extent, overshadows the Federal Reserve's (Fed) rather dovish outlook. This, in turn, acts as a tailwind for the US Treasury bond yields and contributes to keeping a lid on the lower-yielding JPY. Apart from this, the emergence of some buying around the US Dollar (USD) helps limit the downside for the USD/JPY pair.