Investing.com - The dollar was lower against the yen on Thursday as investors looked ahead to the outcome of the European Central Bank’s policy meeting later in the day and Friday’s key report on U.S. nonfarm payrolls. USD/JPY hit 99.50 during late Asian trade, the session low; the pair subsequently consolidated at 99.62, shedding 0.28%. The pair was likely to find support at 99.16, the low of July 1 and resistance at 100.84, Wednesday’s high and a five-week high. Concerns over political instability in Portugal continued to weigh on market sentiment, underpinning safe haven demand for the yen. The future of the country's coalition government was thrown into doubt earlier in the week, following the resignation of country’s foreign minister and finance minister in protest over government austerity policies. The yen was also boosted by falls in Japanese equities markets overnight amid caution ahead of Friday’s U.S. nonfarm payrolls data, as investors awaited further clues on when the Federal Reserve may decide to unwind its USD85 billion-a-month stimulus program. Data on Wednesday showed that the U.S. private sector added 188,000 jobs in June, more than expectations for an increase of 160,000. The yen was higher against the euro, with EUR/JPY down 0.42% to 129.40. The ECB was expected to leave interest rates on hold following its policy meeting later Thursday and to reiterate that an exit from loose monetary policy remains distant. Trade volumes were expected to remain light on Thursday, with markets in the U.S. closed for the Independence Day holiday.

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