The dollar rose modestly to around ¥108.20 in tranquil Tokyo trading Wednesday.
At 5 p.m., the dollar stood at ¥108.26-26, up from ¥108.05-06 at the same time Tuesday. The euro was at $1.1206-1207, up from $1.1248-1248, and at ¥121.32-33, down from ¥121.55-55.
After topping ¥108.30 on real demand-backed buying in midmorning trading, the dollar lost steam and moved tightly around ¥108.20.
Dollar selling slightly outpaced buying in the wake of U.S. President Donald Trump’s cabinet meeting remarks Tuesday that the United States and China have “a long way to go” as far as tariffs are concerned, a trust bank official said.
But the greenback’s fall was limited by purchases stemming from Chinese stocks’ solid performance, an official of a major securities firm noted.
“The dollar-yen pair will likely stay calm until the U.S. Federal Reserve’s Federal Open Market Committee meeting at the end of the month, unless something unexpected happens on the U.S.-China trade front or in the Iranian situation,” an official of a foreign exchange margin trading service firm said.