SINGAPORE, Feb 13 Reuters The dollar flirted with the psychological threshold of 150 yen on Tuesday and held broadly steady ahead of a key reading on U.S. inflation due later in the day, while bitcoin surged to a more than twoyear high.

Trading was largely subdued in Asia with markets in China and Hong Kong still closed for the Lunar New Year holidays and traders on guard ahead of Tuesday39;s release of consumer prices data in the world39;s largest economy.

The greenback rose to an over twomonth high of 149.58 yen , edging toward the closelywatched 150 level that analysts said would likely trigger further jawboning from Japanese officials in an attempt to support the currency.

The yen, which has already tumbled more than 5 against the dollar yeartodate, is under persistent pressure as investors pare back their expectations of the scale and pace of the Federal Reserve39;s easing cycle.

Yen bears are also being emboldened by signs the Bank of Japan will resist aggressively hiking rates even if it exits negative interest rates this year as markets are wagering.

It is a bit of a yield story. Yields in the U.S. are around their highs for 2024, so that39;s certainly helped dollaryen, said Tony Sycamore, a market analyst at IG.

It39;s also being supported by carry. With volatility so low and… for 2024, the markets have been pretty happy to add risk to their portfolios, and the carry trade is certainly part of that, which supports dollaryen because of the yield…