The dollar rose above ¥109 in Tokyo trading on Friday, due chiefly to purchases backed by real demand.
At 5 p.m., the dollar stood at ¥109.19-20, up from ¥108.77-77 at the same time on Thursday. The euro was at $1.1683-1684, down from $1.1711-1711, and at ¥127.58-58, up from ¥127.38-40.
In early trading, the dollar moved around ¥108.70.
After attracting real demand-oriented purchases by importers and rising to levels close to ¥109 in midmorning trading, the greenback fell against the yen following the Bank of Japan’s decision to reduce the purchase amount of outstanding Japanese government bonds in its open market operations, traders said.
But the U.S. currency rose back soon and advanced to around ¥109.20 thanks to buybacks, traders said.
In afternoon trading, the dollar fluctuated around ¥109.10.
“A wait-and-see mood grew prior to key events, such as the release later on Friday of the U.S. (government’s) jobs data” for May, after the dollar buying versus the yen ran its course in the afternoon, an official at a foreign exchange broker said.
Market players are expected to pay attention to the average hourly earnings in the jobs data, according to an analyst of a bank-linked securities firm. “The main focal point is whether the pace of their growth accelerated or not,” the analyst said.