On Friday the dollar was slightly higher against the yen and the
euro in quiet Asian trade, with many investors worried ahead of the closely-monitored U.S. jobs report later in the
day, a key to shaping investors’ views on the Federal Reserve’s monetary
policy.
The greenback was higher 0.10% at ¥120.05, compared with ¥119.91 late Thursday in New York.
The U.S. currency was slightly higher against the euro, which was last 0.14% lower at $1.1180 from $1.1196 late Thursday.
The common
currency was last at ¥134.08 from ¥134.13.
Forex investors
remained on the sidelines, with stocks markets moving moderately, as they look to the U.S. jobs report for
September due later Friday.
Analysts expect nonfarm payroll growth of 200,000 in September, following a net gain of 173,000 in August, and the jobless rate to stay steady at 5.1%.
The Nikkei Stock Average was flat midday, up 0.02%.
The quiet stance was strengthened by the muted reaction to comments by ECB president Mario Draghi in the midmorning in Tokyo. In his speech Thursday in New York, Draghi said the eurozone has become more resilient and is gaining momentum, the latest indication he thinks the central bank’s accommodative monetary policy is working.
“Under normal circumstances, the Fed should go ahead with monetary
tightening” given signs the U.S. is close to a state of full employment,
said Osamu Takashima, chief foreign-exchange strategist at Citigroup
Global Markets Japan.
He also noted that slower economic expansion in the U.S., volatile stock markets and economies outside the U.S. make it hard for the Fed to act immediately, he said.
“While a downbeat reading may cause relatively-straightforward reaction of dollar selling, an upbeat figure won’t necessarily lead to a higher dollar,” he said.
