USD/JPY drops sharply below 124.00 to 3-week lows after FOMC minutes

FXStreet (Córdoba) - Greenback weakened across the board after a messy release of the Fed minutes. USD/JPY initially climbed to 124.22 after some leaked headlines, then turned to the downside and bottomed at 123.76 after the official document was released.

The pair is now attempting to move off session lows as it trades at 123.95/99, but still remains under pressure. Greenback lost ground across the board as minutes noted that most officials said that conditions were approaching the liftoff point, but a rate hike was still not warranted.

The US dollar and bond yields declined after the minutes as market expectations about a rate hike in September were reduced. USD/JPY is headed toward the lowest daily close for August.