TOKYO, Nov 18 — The dollar’s surge ran out of steam in Asian afternoon trade today, despite a regional equities rally and following tepid US economic data.
The greenback fetched ¥100.06 in Tokyo, down from ¥100.12 in New York Friday afternoon.
The greenback had risen to as high as ¥100.40 before cooling off in the afternoon.
“I had expected the dollar to gain to around ¥100.50 on the back of the strength in the Asian stock market, but it hasn’t,” Osao Iizuka, head of forex trading at Sumitomo Mitsui Trust Bank, told Dow Jones Newswires.
The euro edged up to US$1.3497 from US$1.3493 while it weakened to ¥135.01 against ¥135.16.
On Friday the New York Fed’s Empire State Manufacturing business conditions index unexpectedly fell in November while, in October, US industrial production dipped and import prices fell.
The data came a day after Federal Reserve chair nominee Janet Yellen told a Senate panel confirmation hearing she would not consider ending the bank’s US$85 billion a month asset-purchase programme as long as growth remained soft and unemployment high.
Dealers were keeping an eye on eurozone current account data due later today.
The dollar was mostly weaker against other Asia-Pacific currencies.
It slipped to S$1.2464 from S$1.2477 on Friday, to 62.65 Indian rupees from 63.12 rupees and to 31.56 Thai baht from 31.58 baht.
The greenback also weakened to 1,057.90 South Korean won from 1,065.30 won, to T$29.53 from T$29.55 while it gained to 43.61 Philippine pesos from 43.58 pesos.
The Australian dollar strengthened to 94.11 US cents from 93.36 cents, while the Chinese yuan was at ¥16.42 against ¥16.43. — AFP
