Dollar soft in European FX market, hovering in the lower 161 yen range with intervention caution persisting

Macro
โดย Reuters·Read original
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The dollar traded weakly against major currencies in the European foreign exchange market, with dollar-yen moving in the lower 161 yen range. The previous day's US employment data came in below expectations, dampening speculation of an early rate hike by the Federal Reserve and prompting dollar selling. The yen has recovered from its weakest levels in about 40 years, but caution over potential currency intervention by the government and the Bank of Japan persists. With thin trading due to a US market holiday, market participants are mindful of the possibility that authorities could step in. Finance Minister Satsuki Katayama stated that there is no change in the government's exchange rate policy, while Chief Cabinet Secretary Minoru Kihara expressed the view that the market is being monitored with a high sense of tension. The dollar index against major currencies fell about 0.2 percent to 100.83, while the euro rose to 1.1440 dollars and the pound to 1.3352 dollars.

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