The dollar inched down to levels around ¥105.40 in slow Tokyo trading Wednesday.
At 5 p.m., the dollar stood at ¥105.41, down from ¥105.46 at the same time Tuesday. The euro was at $1.1741, down from $1.1779, and at ¥123.78, down from ¥124.24.
The dollar fell below ¥105.30 on selling by Japanese exporters around midmorning after topping ¥105.60 in overnight trading overseas. Traders also attributed the dollar selling to drops in Japanese, U.S. and Chinese stocks.
Following a rebound to around ¥105.50 on buybacks induced partly by the Nikkei stock average’s upturn, the greenback met with renewed selling in late afternoon trading.
“The dollar-yen pair was swayed only by real demand-backed transactions,” a Japanese bank official said.
“Investors find it unadvisable to tilt their positions either way as the U.S. presidential election day looms,” a think tank analyst noted.