The pullback came after the Federal Reserve kept its benchmark interest rate steady at 3.75%, in line with market expectations. Federal Reserve Chair Jerome Powell described the U.S. economy as “solid,” noting easing risks to both inflation and employment, which weighed further on the greenback. The Japanese yen remained a focal point as investors speculated over possible intervention to stabilize the currency. The Australian dollar stood out among Asian currencies, with AUD/USD rising about 0.4% to a near three-year high. Overall, Asian currency markets remained constrained by cautious sentiment, a softer dollar, and heightened geopolitical and policy-related uncertainty.