NEW YORK: The dollar bounced back against the yen on Friday after hitting session lows in volatile trading following weaker-than-expected U.S jobs data, as investors found an opportunity to buy back the greenback at lower levels.
Analysts said the main driver for the dollar/yen pair is still the Bank of Japan's mammoth stimulus announced on Thursday, which should further undermine the Japanese currency.
"Investors' mindset in trading dollar/yen is to buy it on dips," said Brian Dangerfield, currency strategist, at RBS Securities in Stamford, Connecticut.
"We know that dollar/yen will continue to strengthen given what's going on in Japan and the US payrolls report gave the market the opportunity to buy it back at a lower level."
The dollar hit New York session highs at 96.65 yen, but was little changed at 96.30.
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