Dollar hovers near seven-month low vs yen as oil tops $100

The U.S. dollar found itself near a seven-month low against the Japanese yen on Wednesday, as oil prices skyrocketed above the $100 mark amid a growing Middle Eastern conflict, and investors anticipated central bank meetings in the coming week. The U.S. currency faced pressure, primarily due to the yen's substantial gains over the past week and shifting expectations for policy decisions from the Federal Reserve and Bank of Japan.

The dollar slipped 0.4 percent to 153.40 yen, just shy of its seven-month low of 152.89 observed on Tuesday. According to Kevin Ford, FX & Macro strategist at Convera, the primary concern is the U.S. policy premium constraining the dollar's rise, while the yen benefits from support from the U.S. Treasury.