The USD/JPY currency pair has softened, reaching lows near 159.35 during early European trading. This move reflects cautious optimism surrounding a potential peace agreement in Iran, which is reducing geopolitical risk and weighing on the safe-haven US Dollar. Additionally, subdued market activity on Easter Monday is contributing to lighter trading volumes and subdued momentum. Traders should monitor developments in Iran closely, as a breakthrough could continue to dampen USD demand against the Yen. Conversely, any escalation could reverse this trend, driving safe-haven flows back to the USD.