The dollar eased below ¥105.60 in Tokyo trading Monday, with buying sentiment dampened by Tokyo stocks’ bearishness.
At 5 p.m., the dollar stood at ¥105.55, down from ¥105.93 at the same time Friday. The euro was at $1.1820, up from $1.1777, and at ¥124.74, almost unchanged from 124.73.
After falling below ¥105.60 in overseas trading over the weekend due to concerns over tardy progress in talks over a fresh coronavirus relief package in the United States, the dollar firmed back above the level in the early Tokyo morning.
But the greenback took a downturn in the wake of the 225-issue Nikkei average extending its loss, going sideways at levels slightly below ¥105.50 before being bought back in late afternoon trading.
“Amid a lack of market-moving news, players moved to sell the dollar against the yen in view of moves of U.S. long-term interest rates and Tokyo stocks,” said an official at a foreign exchange margin trading service firm.