The dollar eased to around ¥108.60 in lackluster Tokyo trading Monday.
At 5 p.m., the dollar stood at ¥108.56-57, down from ¥108.66-66 at the same time Friday. The euro was at $1.1065-1065, down from $1.1106-1107, and at ¥120.13-14, down from ¥120.69-69.
After rising to ¥108.90 in overseas trading late last week, thanks to better than expected U.S. employment data, the dollar fell back to around ¥108.60 in early morning of Tokyo trading.
The greenback then fluctuated between ¥108.50 and ¥108.60 for the majority of the day.
An official at a foreign exchange margin trading service company suggested that many investors were reluctant to tilt their positions on the dollar-yen pair as “the market tone tends to change drastically on (news) related to the U.S.-China trade negotiations.”
It is difficult for the dollar-yen rate to move either way before key events this week, including policy-setting meetings of the U.S. Federal Reserve and the European Central Bank, as well as the British general election, an official at another foreign exchange margin trading service company said.