Business / Financial Markets | CURRENCY MARKET

Dollar falls below ¥108 in Tokyo for first time in three weeks on U.S.-China worries

JIJI

The dollar fell below ¥108 for the first time in about three weeks in Tokyo on Friday, amid fresh concerns over U.S.-China trade negotiations.

At 5 p.m., the dollar stood at ¥107.96-96, down from ¥108.60-60 at the same time on Thursday. The euro was unchanged at $1.1163-1163, and at ¥120.52-52, down from ¥121.24-25.

In overseas trading the previous day, the dollar fell below ¥108 after the release of weak economic data and fresh concerns over progress in the U.S.-China trade talks after a media report said Chinese officials expressed doubts over striking a comprehensive long-term trade deal with the United States, traders said.

In Tokyo on Friday, the dollar temporarily fell below ¥107.90 in midmorning trading, hurt by selling by Japanese exporters, but it soon rebounded above ¥108 thanks to buying on dips, traders said.

The greenback fell below ¥108 in late trading as a wait-and-see mood prevailed ahead of the release later Friday of the U.S. government’s jobs data for October, traders said.

Some investors refrained from active trading ahead of a three-day holiday in Japan, an official at a major Japanese bank said. The Tokyo market will be closed on Monday for a substitute holiday for Culture Day.

“The U.S.-China trade issue weighed on the dollar-yen rate, but the possibility of another rate cut by the U.S. Federal Reserve was also negative,” an official of a life insurer said.

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