The dollar fell to around ¥110.50 in Tokyo trading Thursday after a late bout of selling slowed its run.
At 5 p.m., the dollar stood at ¥110.46-47, down from ¥111.46-46 at the same time Wednesday. The euro was at $1.0925-0925, up from $1.0807-0807, and at ¥120.68-69, up from ¥120.46-47.
Succumbing to position-adjustment selling by exporters and selling triggered by a plunge in the benchmark 225-issue Nikkei stock average, the dollar dropped below ¥110.50 in morning trading.
The greenback then rose above ¥110.80 in the afternoon after the U.S. Senate’s passage of a $2.2 trillion economic stimulus package to battle the increasing damage caused by the pandemic.
In late trading, the U.S. currency fell to around ¥110.50 due to heightened selling pressure.
An official at a trust bank noted that some market participants became risk-averse, reacting negatively to the growing number of infections in Tokyo and other parts of Japan.
“If an explosive increase of coronavirus infections or a lockdown of Tokyo were to occur, it is more likely that the yen will be sold, rather than bought, amid a risk-averse mood,” an official at a foreign-exchange margin trading service firm said.
In a time of both misinformation and too much information, quality journalism is more crucial than ever.
By subscribing, you can help us get the story right.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.