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Dollar weaker around ¥107 in Tokyo

JIJI

The dollar was weaker around ¥107 in Tokyo trading late Tuesday, dampened by selling by European players.

At 5 p.m., the dollar stood at ¥106.99-99, down from ¥107.19-20 at the same time Monday. The euro was at $1.2402-2402, up from $1.2357-2358, and at ¥132.69-70, up from ¥132.47-47.

After moving around ¥107.10 in early trading, the dollar slipped below ¥107 briefly in midmorning trading before the start of a summit between Prime Minister Shinzo Abe and President Donald Trump later Tuesday.

In late hours, the dollar moved around ¥107, hit by European players’ dollar selling against European currencies, traders said.

“The dollar met with selling for the yen on concerns over U.S. currency policy” after Trump accused China and Russia on Monday of engaging in competitive devaluation of their currencies, an official of a foreign exchange margin trading service firm said.

An official of a bank-affiliated brokerage house said the U.S. currency was susceptible to selling due to speculation that the United States will step up warnings against a stronger dollar.

“If the United States takes stronger attitudes on trade and currency issues (at the summit), the yen is expected to be pushed higher,” a Japanese bank official said.