Yen pinned near 40-year low in test of Tokyo's intervention resolve

The yen remained near a 40-year low against the dollar at around 162 per dollar and hit 217.09 against the British pound in early Asia trade, testing the limits of Tokyo's intervention tolerance. The dollar weakened broadly as investors pared back expectations of US rate hikes following an underwhelming jobs report, with markets now pricing in about 29 basis points of Fed hikes by December, down from 38 basis points a week ago. Focus has shifted to the FOMC June meeting minutes due Wednesday for further clues on the rate outlook, with the euro holding near $1.1442 and sterling touching a two-week high of $1.34005.