USD/JPY drops to 148.30 on Powell dovishness and China trade tensions

USD/JPY tumbled 1.1% to 148.30, marking its sharpest daily decline in three weeks as Powell's dovish Fed commentary combined with escalating US-China trade concerns. The pair broke below the crucial 149.00 support level, triggering stop-loss selling that accelerated the downward momentum. Gold surged 1.3% to $2,052/oz as investors sought safe-haven assets amid the dual pressures on the dollar. Japanese yen strength was further supported by repatriation flows ahead of Japan's fiscal year-end. Technical indicators show USD/JPY approaching oversold territory with RSI at 32, though immediate support at 148.00 remains vulnerable. The 200-day moving average at 147.50 represents the next major downside target. Traders are positioning for continued dollar weakness unless upcoming US data significantly beats expectations or trade tensions ease materially.