The dollar firmed above ¥109.50 in lackluster Tokyo trading Friday as a wait-and-see mood grew ahead of the release of closely followed U.S. employment data.
At 5 p.m., the dollar stood at ¥109.57-57, up from ¥109.34-34 at the same time Thursday. The euro was at $1.1106-1108, down from $1.1114-1117, and at ¥121.70-71, up from ¥121.54-55.
After rising in U.S. trading overnight on easing tensions in the Middle East, the dollar made erratic moves roughly between ¥109.50 and ¥109.60 around the midmorning fixing in Tokyo due to real demand-backed buying and selling, traders said.
The greenback maintained its gains for the rest of the day, moving narrowly at levels above ¥109.50.
“Market participants were in a wait-and-see mood” before the U.S. Labor Department’s announcement of jobs data for December 2019 later Friday, an official at a major Japanese bank said.
A life insurance company official said the market’s risk appetite has increased, with investors paying less attention to the Middle East situation.
Meanwhile, an official at a foreign-affiliated securities company said the dollar is expected to struggle to rise further unless U.S. long-term interest rates exceed 2 percent.