The yen’s USD/JPY pair edged down 0.1% to around 159 yen, the USD/KRW pair declined 0.9%, the Australian dollar’s AUD/USD pair gained 0.4%, while the Singapore dollar’s USD/SGD pair edged down 0.2%

Most Asian currencies edged lower on Friday, and were set for weekly fall.

The yen’s USD/JPY pair edged down 0.1% to around 159 yen. The pair was set to drop 0.2% for the week.

Data on Friday showed that Japan’s core consumer inflation accelerated to 1.8% year-on-year in July from 1.6% in June, matching economists’ expectations. Inflation excluding fresh food and energy rose by 1.9%, up from 1.7% in June.

The figures strengthened expectations that the Bank of Japan could raise its policy rate from 1% to 1.25% at its Sept. meeting, although core inflation remained below the BOJ’s 2% target for a seventh straight month.

Separate data on Friday showed Japan’s private-sector activity remained firmly in expansion territory. The manufacturing PMI added with new orders increasing at their fastest pace since January 2018.

The won was the top gainer on Friday, with the USD/KRW pair declining 0.9% to its lowest since September 2025. The pair was set for a 2.5% weekly drop.

The Australian dollar’s AUD/USD pair gained 0.4% and was on track for a nearly 1% gain.

The yuan’s onshore USD/CNY pair traded flat and headed for a 0.3% weekly drop.

The Singapore dollar’s USD/SGD pair edged down 0.2% and remained on track to drop 0.7% for the week.

The Indian rupee was also under pressure despite the dollar’s weakness. The USD/INR pair traded flat and was set for a 0.3% weekly rise — bucking the trend.

The currency has been hurt by rising crude prices and importer hedging, while intervention by the Reserve Bank of India provided little support.

The US Dollar Index was last down 0.2% at 98.735 by 03:47 GMT, near a three-month low, and was on track for a weekly decline of around 1%.