Business / Financial Markets | CURRENCY MARKET

Dollar turns firmer around ¥111.30 in late Tokyo trading

JIJI

The dollar shrugged off its early weakness to move around ¥111.30 in late Tokyo trading Monday, supported by higher Chinese stock prices.

At 5 p.m., the dollar stood at ¥111.27-28, up from ¥110.98-98 at the same time Friday. The euro was at $1.1248-1249, up from $1.1209-1210, and at ¥125.16-16, up from ¥124.41-42.

The dollar fell below ¥110.90 around the midmorning in line with the sluggish movements of the Nikkei 225 stock average. But the greenback retook ¥111.10 toward noon, aided by the key stock gauge’s upturn and rises in U.S. long-term interest rates in off-hours trading, traders said.

The U.S. currency accelerated its upswing in late afternoon trading as buying was enhanced by brisk performances of Chinese stocks, they added.

A risk-off mood seen since last week receded thanks to Asian equity markets’ firmness, an official at a major securities firm said.

But if U.S. retail sales results for January, to be released later Monday, turn out to be weak, the dollar may take a dive, a life insurance firm official said.

Amid growing concerns over a global economic slowdown, the dollar-yen pair has been easily affected by each economic indicator, an asset management company official pointed out.

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