TOKYO: The dollar turned softer in Asia on profit-taking Friday, still short of the 100 yen level many traders are expecting following the Bank of Japan's renewed monetary easing campaign.
The greenback stood at 99.47 yen, falling from 99.95 yen in New York on Thursday.
The euro bought $1.3117 and 130.52 yen, compared with $1.3096 and 130.68 yen in New York.
The dollar was weighed by "profit-taking orders from speculators who bought the pair following the BoJ meeting" last Thursday, when the central bank announced its massive easing operation, said Akira Moroga, manager of forex products group at Aozora Bank.
The BoJ's new governor Haruhiko Kuroda said he will double Japan's money supply over the next two years to end the deflation that has plagued the nation for roughly 15 years.
The aggressive move caused stocks to soar while driving down the yen, which helps the nation's exporters.
Despite the respite of the yen's drop, market participants still believed the dollar would soon reach the symbolic 100 yen mark.
"The pair can get there any time," Moroga told Dow Jones Newswires.
"If US interest rates rise, that will provide a boost to the pair, although there aren't many promising signs for now," he added.
Comments
Comments are closed for this article.