The dollar hit a one-month low of 106.72 yen Thursday in Tokyo on speculation that Japan may be easing its policy of massive market interventions.
The dollar was quoted at 107.06-09 yen at 5 p.m., compared with 10820-30 yen in New York and 108.26-28 yen in Tokyo at the close of trade Wednesday.
It moved between 106.72 yen and 108.36 yen during the day, trading most frequently at 107.20 yen. The intraday low in Tokyo was the lowest since Feb. 19, when it hit 106.30 yen.
The market inherited the yen-buying trend, which started at the beginning of this week with domestic media reporting that Japanese monetary authorities were considering ending their massive yen-selling interventions by the end of the month.