Brent crude slipped below $85/bbl, down 2.6% on the day.

Daiwa Securities chief FX strategist Kenta Tadaide said any surprise Japanese government intervention to support the yen may only be a stopgap to buy time. "To maximize the effect of FX intervention, monetary policy must remain aligned," he said, adding markets largely expect the Bank of Japan to keep policy rates unchanged at today's decision and are focused on the policy statement and Governor Kazuo Ueda's press conference.

People familiar with the matter said the Reserve Bank of India sold roughly $7 billion in foreign exchange on Friday to defend the rupee, one of its largest direct interventions in months. They said the RBI intervened in both onshore and offshore markets as the currency neared record lows; the central bank has not confirmed the actions.