The dollar slightly weakened to levels around ¥106.10 in lackluster Tokyo trading Thursday.
At 5 p.m., the dollar stood at ¥106.10, down from ¥106.29-30 at the same time Wednesday. The euro was at $1.1216, up from $1.1189, and at ¥119.02, up from ¥118.94.
The dollar firmed above ¥106.20 in midmorning, after the People’s Bank of China set the daily reference rate for the yuan against the dollar “at a level stronger than expected,” a currency broker said.
In the afternoon, the greenback struggled for direction, moving mostly in a range between ¥106.00 and ¥106.20.
The dollar’s topside was capped by concerns over the U.S.-China trade conflict while its downside was supported by buybacks believed to be made by European players in view of the U.S. currency’s recent resilience, traders said.