The yen showed sharp volatility against the dollar on Tuesday during US Treasury Secretary Scott Bessent's visit to Japan. The Japanese currency strengthened markedly in early trading before giving up those gains as the day progressed, market reports indicated.

The abrupt currency movement reflects the high stakes surrounding US-Japan economic discussions. Traders closely monitor such high-level visits for any signals on trade policy, currency arrangements, or economic cooperation between the world's largest and third-largest economies.

The yen's reversal suggests markets were quick to adjust positions as no major policy announcements emerged from the meetings. Currency traders and businesses with yen exposure face continued uncertainty about the direction of US-Japan economic relations under the new administration.