TOKYO (AFX-ASIA) - The dollar was slightly lower against the yen in midafternoon trade, pressured by exporter-led dollar selling, combined with a rise in the local equity market, dealers said. However, they said the dollar's fall was limited due to continued fears of intervention by the Japanese authorities, as well as caution on comments by Bank of Japan governor Masaru Hayami that the current situation in the forex markets will not continue for a long time. "The current dollar weakness is not determined only in relation to the yen. Investors are buying euro and yen at the moment but ... this trend will not continue," Hayami told a parliamentary Upper House committee earlier today. Dealers said the Japanese authorities are currently waiting for the best timing to intervene in the market in order to maximize the effect from it. "They (Japanese authorities) are probably waiting to receive an agreement for joint intervention," a dealer at a local Japanese bank said. The dealer said that US counterparts probably do not welcome a further fall in the dollar, citing the recently released trade deficit data. US trade deficit for goods and services widened to record-high seasonally adjusted 35.94 bln usd in April from a revised 32.47 bln in March. "Capital is flowing out from the US. I don't think it is what US wants. I think eventually, Japan and the US will intervene jointly into the forex market," the dealer said. In the short-term, the dollar will be in a correction phase, the dealer said. "Investors are expecting a rise in the US stockmarket on short-covering. I think the dollar will also rise in line with the stockmarket recovery," he said. However, he said that the dollar's upside will be limited, pressured by selling by exporters at the 116.50-117.00 level. The dealer said the dollar/yen will move in the range of 114.50-117.50 for a week. The euro was higher against the dollar, in line with the general dollar weakness, dealers said. The dealer said the euro will probably fall on a long-position correction for the short-term, adding that the euro/dollar will move in the range of 0.9900-1.0100 for a week.