The dollar inched up to around ¥108.75 in lackluster Tokyo trading Tuesday.
At 5 p.m., the dollar stood at ¥108.76, up from ¥108.68 at the same time Monday. The euro was at $1.1904, up from $1.1884, and at ¥129.46, up from ¥129.17.
The dollar topped ¥108.80 in midmorning trading thanks to demand from Japanese importers for settlements and the Nikkei stock average’s initial strength.
The greenback eased below ¥108.70 later in the morning in response to a fall in U.S. long-term interest rates in off-hours trading, and went sideways mostly in the ¥108.70 zone in the afternoon amid a dearth of fresh trading incentives.
Players were waiting for congressional testimonies in the small hours of Wednesday Japan time by U.S. Federal Reserve Chairman Jerome Powell and Treasury Secretary Janet Yellen.
“Still, the testimonies can hardly affect dollar-yen trading, unless comments, particularly by Powell, are totally fresh,” an official at a foreign exchange margin trading service firm said.
Many participants thought that the upcoming two-year Treasury note auction would be held smoothly, the official added.
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