/

Dollar briefly rises above ¥100

JIJI

The dollar briefly rose above ¥100 for the first time in six weeks in Tokyo trading late Thursday, aided by a rise in U.S. long-term interest rates and firmness in Tokyo stock prices.

After topping ¥100 for the first time since July 25, the dollar stood at ¥99.95-97 at 5 p.m., up from ¥99.58-59 at the same time Wednesday.

The euro was at $1.3178-3180, up from $1.3158-3160, and at ¥131.74-81, up from ¥131.04-07.

The U.S. currency accelerated its upswing against the yen after European investors joined trading in late hours.

“The dollar drew strong demand from market players who took a cue from higher U.S. long-term interest rates in off-hours trading,” an official at a bank-affiliated brokerage said.

A foreign exchange broker attributed the dollar buying to a late rebound in Tokyo stock prices.

The dollar’s rise above the key threshold of ¥100 surprised many market participants as they had expected a wait-and-see mood in Thursday’s trading ahead of the release of the U.S. government’s closely watched jobs data for August, due out Friday, one market source said.

“The dollar is unlikely to gain a firm foothold above ¥100 until after the U.S. jobs data are released,” a foreign exchange strategist said.

The dollar-yen rates reacted little to a monetary policy decision announced by the Bank of Japan before noon after the end of its two-day Policy Board meeting.

The BOJ kept its monetary policy unchanged, but it upgraded its economic assessment for the first time in two months, saying the Japanese economy “is recovering moderately.”