Business / Financial Markets

Dollar rises to around ¥107.40 on buying on dips in Tokyo

Jiji

The dollar rose to around ¥107.40 in late Tokyo trading Monday, thanks to buybacks.

At 5 p.m., the dollar stood at ¥107.35-35, up from ¥107.20-20 at the same time on Friday. The euro was at $1.1244-1245, down from $1.1320-1321, and at ¥120.70-71, down from ¥121.35-37.

The dollar rose to ¥107.50 in the early morning, carrying over its strength from overseas trading late last week. But it fell to around ¥107.30 later, pressured by selling on a rally.

Reflecting the benchmark Nikkei stock average’s more than 700-point plunge in the afternoon, the dollar briefly slipped below ¥107, before recovering to around ¥107.40 in late trading, thanks to buying on dips.

An official at a foreign-exchange margin trading service firm said that “the dollar-yen rate will likely turn top-heavy” later in the week as investors are expected to become more risk-averse, reflecting concerns over a second wave of novel coronavirus infections around the world.

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