Business / Financial Markets | CURRENCY MARKET

Dollar firmer above ¥109.90 in Tokyo trading


The dollar firmed above ¥109.90 in Tokyo trading Thursday, supported by higher U.S. interest rates.

At 5 p.m., the dollar stood at ¥109.91-91, up from ¥109.65-66 at the same time on Wednesday. The euro was at $1.1353-1354, down from $1.1389-1389, and at ¥124.81-81, down from ¥124.89-89.

After moving mostly between ¥109.90 and ¥110 in early trading, the dollar fell below ¥109.80 around midmorning as the 225-issue Nikkei average’s loss widened.

In the afternoon, the greenback gathered steam following a rise in U.S. long-term interest rates in off-hours trading. It also attracted buying on a dip.

But the dollar’s upside turned heavy as the U.S. currency approached ¥110, as sell orders were lining up around the level, a Japanese bank official said.

Now that the U.S. Federal Reserve has suggested its dovish stance, players cannot buy the dollar on expectations of a wider interest gap between Japan and the United States, an official of an asset management firm said.