Bank of America FX strategist Alex Cohen: As the yen touches the psychologically significant 160 level, intervention expectations will inevitably intensify. However, since the current trend is mainly driven by the US dollar and US interest rates, authorities may be somewhat more patient.

On Tuesday, following Federal Reserve Governor Waller’s call to consider a 50 basis point rate hike at the December meeting, this year’s FOMC rotating voting member Lorie Logan reiterated a hawkish stance, stating, "Given the current economic outlook, I believe at least two more rate hikes of 25 basis points each are needed. The pace of rate hikes this winter may be faster than what we have seen so far this autumn." On Tuesday, the two-year US Treasury yield jumped 19 basis points in a single day, reaching 4.74%.