GP:Dollar mixed in Asia after Fed minutes, jobs data
The dollar was mixed in Asia Thursday after minutes from a Federal Reserve meeting and upbeat jobs data fuelled speculation of another pullback on the central bank's stimulus measures.
The greenback bought 104.85 yen in afternoon Tokyo trade, almost flat from 104.82 yen but still down from rates just above 105 yen in Tokyo late Wednesday.
The euro held firm at 142.33 yen from 142.26 yen in US trade and $1.3575 from $1.3574, following positive eurozone data, including strong German factory orders, as the European Central Bank (ECB) wraps up a policy meeting later in the day.
"The dollar is in a real dogfight between those that are bent on shorting it and more fundamental-oriented players who are bidding it up," CLSA equity strategist Nicholas Smith told Dow Jones Newswires.
On Wednesday, the Fed published minutes from its December 17-18 meeting that showed policymakers expected unemployment to continue falling even without the support of its vast bond-buying programme.
The meeting concluded with the US central bank reducing its stimulus -- which has been in place since September 2012 -- by $10 billion to $75 billion in January.
There is now rising speculation over another reduction, which is positive for the dollar, after the Fed's next policy meeting this month.
Adding to those expectations, a report by payrolls firm ADP showed US private-sector job growth surged in December, topping November for the strongest pace of the year with a net new 238,000 jobs.
The report Wednesday comes ahead of official jobs data on Friday.
"While the ADP results are not always a reliable guide for payrolls, they nevertheless improve the chances of an above-consensus payrolls result on Friday night," National Australia Bank (NAB) said.
Later Thursday, the ECB wraps up a policy meeting after weak eurozone inflation stoked fears about a slowdown.
Investors will look to ECB chief Mario Draghi's post-meeting press briefing for signs of future policy moves to counter any weakening in the bloc's economy.
The Bank of England also holds a meeting later Thursday.
"No changes to policy settings are expected at the central bank meetings in the UK and Europe, but Draghi's press conference may contain some commentary that will interest markets," NAB said.
The dollar was also mixed against other Asia-Pacific currencies Thursday.
It inched up to Tw$30.10 from Tw$30.06 on Wednesday, to 12,256 Indonesian rupiah from 12,245 rupiah, to Sg$1.2722 from Sg$1.2705 and to 44.75 Philippine pesos from 44.73 pesos.
It slipped to 1,063.80 South Korean won from 1,064.54 won, to 62.21 Indian rupees from 62.23 rupees, and to 33.00 Thai baht from 33.07 baht.
The Australian dollar fell to 88.82 US cents from 89.28 cents, while the Chinese yuan edged down to 17.28 yen from 17.33 yen.