The US dollar was steady against the yen in early afternoon trade here but with dollar-bulls seen ready to flex their musles to test the upside again given the US unit's recent upward momentum, dealers said. The latest uptick for the greenback was driven by a statement from the US Federal Reserve Board overnight, which appeared to rule out suggestions of an imminent "pause" in the current tightening cycle, analysts said. At 1.20 pm (0420 GMT) here, the dollar was quoted at 110.82 yen, after trading in a range of 110.62-111.13. Earlier in Sydney it was at 110.83 yen and 110.77 in late New York trade yesterday. The euro stood at 1.2072 usd, compared to 1.2087 usd earlier in Sydney and 1.2104 usd in New York. As widely anticipated, the Fed late yesterday raised its key federal fund rate by 25 basis points to 3.25 pct, its ninth straight hike in a year. The closely-watched rate announcement policy statement again noted that "policy remains accommodative" and that the accommodation can be removed at a "measured" pace. "The Fed statement did not give any clues that they are moving towards a pause in the policy firming process. Indeed it even appeared to be 'hawkish'," said Harry Ida, a senior currency analyst at Thomson Financial's IFR Forex Watch. Analysts said the widening gap in yields between the US and Japan is also behind the dollar's upward bias. "While (the Fed) will continue to raise rates, the yield on the lead 10-year Japanese government debt fell below the 1.17 pct mark, its lowest since August 2003, which helped spur institutional investors' dollar buying," Ida said. Dealers noted that the better-than-expected Bank of Japan (BoJ) survey of business sentiment, released earlier today, failed to give a decisive spur to the yen. "The latest Tankan data provided only a minor lift to the Japanese currency. The market bias remains for a firmer dollar," he said.