The yen stabilized on Tuesday, but remained vulnerable to further decline amid market anticipation of signs of intervention by the Japanese authorities, and the Australian dollar fell after the central bank decided to keep interest rates unchanged.
The Reserve Bank of Australia kept interest rates at 4.10 percent, saying it needed more time to assess the impact of previous increases, but warned that further monetary tightening may be required to reduce inflation.
Investors in the currency markets remained on the lookout for possible intervention.
The yen hit 144.64 to the dollar in the latest Asian trading, but remained close to an eight-month low reached last week at 145.07 to the dollar, which prompted finance Minister Shunichi Suzuki to warn against excessive yen selling.
The Australian dollar fell 0.3 percent to 0.6654 dollars after the decision of the Reserve Bank of Australia, wiping out the gains recorded at the beginning of trading.