TOKYO, Feb 1 (KUNA) -- The US dollar fell to a three-month low in the lower 76 yen range on Wednesday in Tokyo on weaker-than-expected US economic data.
The greenback briefly touched JPY 76.14 in the morning, the lowest level since October 31 when it hit a post-war low of JPY 75.31.
The euro also remained weak against the dollar and the yen amid persistent European debt concerns. At 5 p.m. (0800 GMT), the dollar traded at JPY 76.
23-24 compared with JPY 76.21-31 in New York and JPY 76.29-30 in Tokyo at 5 p.
m. Tuesday. On Tuesday, Japanese Finance Minister Jun Azumi said Japan will take decisive measures against excess volatility and speculative moves in the foreign exchange market, indicating possible yen-selling intervention.
"Japan's stance on the foreign exchange markets has not changed. If there is excess volatility and speculative moves, we will keep a close watch and take firm action when necessary," Azumi told a news conference. The government and the Bank of Japan intervened in currency markets to stem the yen's rise on October 31 after the Japanese currency hit a postwar high.
The yen's strength hurts Japan's export-led recovery from the March 11 earthquake and tsunami, as it worsens export profitability and affects earnings for exporters by making Japanese products more expensive overseas.
It would also lead to the hollowing out of the Japanese industry, given that domestic manufacturers may increasingly shift their production overseas in pursuit of cheaper costs. (end) mk.asa KUNA 011200 Feb 12NNNN
