Tuesday, 04 September 2012 09:00
TOKYO: The euro strengthened in Asian morning trade on Tuesday ahead of a European Central Bank meeting at which officials were expected to announce fresh measures to battle the eurozone debt crisis.
The common currency bought $1.2616 and 98.88 yen in Tokyo morning trade, compared with $1.2598 and 98.68 yen in London late Monday. The US market was closed Monday for the Labor Day holiday.
The dollar was at 78.37 yen against 78.32 yen in Europe.
The euro saw "sentiment turning slightly bullish" over speculation that an ECB policy meeting Thursday will usher in the restart of a bond-buying programme, said Osao Iizuka, head of forex trading at Sumitomo Mitsui Trust Bank.
The bond purchases were designed to lower public borrowing costs among crisis-hit nations such as Spain and Italy.
But bank chief Mario Draghi has been forced to defend the programme, rejecting claims it amounted to bailing out spendthrift euro members -- a charge ...