Business / Financial Markets | CURRENCY MARKET

Dollar moves tightly around ¥109.40 in Tokyo trading

JIJI

The dollar was stuck in a narrow range around ¥109.40 in Tokyo trading on Wednesday.

At 5 p.m., the dollar stood at ¥109.31-40, against ¥109.39-39 at the same time on Tuesday. The euro was at $1.1082-1086, almost unchanged from $1.1085-1085, and at ¥121.21-22, against ¥121.23-24.

Amid a dearth of fresh trading incentives, the dollar fluctuated around ¥109.40, before easing slightly to around ¥109.30 in late trading.

“Market participants were wary of moves by North Korea,” said an official at a foreign exchange margin trading service firm.

The official said that while market players sees North Korea’s threat to give the United States a “Christmas gift” as just an empty threat, they were reluctant to tilt their positions either way.

An official at a major Japanese bank said that the dollar-yen rate may start to move again after Christmas as European and U.S. participants’ mindset will be focused on the new year.