The dollar fell below 108.50 ¥ in Tokyo trading Friday amid a wait-and-see mood ahead of the Easter holidays abroad.
At 5 p.m., the dollar stood at ¥108.40-44, down from ¥108.93-93 at the same time Thursday. The euro was at $1.0937-0937, up from $1.0875-0875, and at ¥118.54-57, up from ¥118.46-47.
In New York on Thursday, the greenback temporarily slid below ¥108.30 on the U.S. Federal Reserve’s announcement of up to $2.3 trillion in aid to businesses and other entities, which alleviated concerns about dollar shortages.
In Tokyo on Friday, the dollar rebounded above ¥108.40 in early trading and advanced close to ¥108.60 in the midmorning thanks to buying by real demand-backed players, traders said.
The greenback lost its gains later, however, after being weighed down by a wave of profit-taking, they said.
Market players paid attention to the Fed funding program, as well as an agreement on cutting crude oil production that was reached at an emergency “OPEC-plus” videoconference held for member states of the Organization of the Petroleum Exporting Countries and major non-OPEC oil-producing nations on Thursday, a Japanese bank official said.
“But the market reacted little to the agreed cut of 10 million barrels per day, believing that the reduction amount is insufficient in light of falling oil demand amid the coronavirus pandemic,” the official added.