Business / Financial Markets | CURRENCY MARKET

Dollar falls below ¥108.80 in Tokyo trading

JIJI

The dollar slipped below ¥108.80 in Tokyo trading Thursday, dampened by concerns over the course of the Chinese economy.

At 5 p.m., the dollar stood at ¥108.74-75, down from ¥109.06-06 at the same time on Wednesday. The euro was at $1.1010-1010, against $1.1005-1005, and at ¥119.73-73, down from ¥120.03-03.

In overseas trading overnight, the dollar fell below ¥108.70 as uncertainty grew over the course of U.S.-China trade talks following a news report that China is opposing a clear numerical target for its purchases of U.S. agricultural products under a potential deal.

In early Tokyo trading, the greenback briefly rose above ¥108.80 as the benchmark 225-issue Nikkei average popped up into positive territory.

Later, the U.S. currency fell back below ¥108.70 after the release of weak Chinese economic indicators, including industrial production data for October, and the Nikkei’s drop. But its downside was solid against the yen.

An official at a foreign exchange margin trading service company said that the dollar’s topside was gradually pressured amid a growing risk-averse mood, reflecting concerns over the Chinese economy and the situation in Hong Kong.

The dollar-yen rate will continue to depend on “how U.S.-China trade talks develop,” an official of a Japanese bank said.