• The Japanese Yen continues with its underperformance amid the BoJ rate-hike uncertainty. 
• Trump-related tariff fears and elevated US bond yields also undermine the lower-yielding JPY.
• Traders look to speeches by Fed officials and key economic data releases for a fresh impetus.

The Japanese Yen (JPY) remains on the back foot against its American counterpart during the Asian session on Tuesday and seems vulnerable to weaken further. A fragile minority government in Japan is expected to make it difficult for the Bank of Japan (BoJ) to tighten its monetary policy. Moreover, the BoJ Summary of Opinions from the October meeting revealed that policymakers were split on whether to raise interest rates again. This, along with concerns about the return of President-elect Donald Trump's tariffs, underpins the JPY. 

Meanwhile, Trump's expansionary policies and corporate tax cuts should put upward pressure on inflation, which could limit the Federal Reserve's (Fed) scope to ease policy. This, in turn, remains supportive of elevated US Treasury bond yields and validates the near-term negative outlook for the lower-yielding JPY. The US Dollar (USD), on the other hand, preserves the positive trend that followed Trump's victory in the US presidential election and suggests that the path of least resistance for the USD/JPY pair remains to the upside.