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Dollar tops ¥113 in Tokyo


The dollar rose above ¥113 in Tokyo trading on Friday, thanks chiefly to real demand-backed buying.

At 5 p.m., the dollar stood at ¥113.06-07, up from ¥112.86-87 at the same time Thursday. The euro was at $1.1162-1163, up from $1.1157-1157, and at ¥126.20-21, up from ¥125.93-94.

After moving around ¥112.70-80 in early trading, the dollar scaled near ¥113.30 on enhanced purchases by Japanese importers who have to settle their transactions by Thursday, the end of the current fiscal year, traders said.

“Ahead of the fiscal year’s end, the dollar attracted real demand-backed buy orders far beyond market expectations,” a major Japanese bank official said.

In addition, dollar purchases, including buybacks, by institutional investors were vigorous, another market source noted.

After a wave of buying subsided, however, the greenback gave up some of its gains on selling to adjust positions in the late afternoon.

Trading was quiet particularly in late hours, as many overseas players entered the long Easter weekend, traders said.