The Japanese yen slipped to around 149 per dollar on Friday, snapping a two-day advance as investors reacted to the latest inflation figures. Japan's core inflation rate slowed to 3% in February from 3.2% in January but still exceeded forecasts of 2.9%.

This marked the second consecutive month that inflation surpassed expectations, highlighting persistent price pressures and reinforcing the case for further interest rate hikes.

Earlier this week, the Bank of Japan kept its policy rate steady at 0.5%, as widely anticipated. Policymakers maintained a cautious stance, opting to assess the impact of global economic risks, particularly higher US tariffs, on Japan's economy.

The BOJ also reiterated its commitment to closely monitoring foreign exchange markets and their influence on economic conditions and prices. Externally, the yen faced pressure from a strengthening dollar as concerns over global growth and trade tensions weighed on other major currencies, keeping investors cautious.

Source: Trading Economics