Dollar higher against yen in Asia
Friday, 24 July 2009
TOKYO, July 23 (AFP): The dollar strengthened against the yen in Asian trade today as renewed worries about the US economy and banking sector rekindled demand for safe-haven assets, dealers said.
The dollar rose to 93.70 yen in Tokyo morning trade from 93.56 in New York late Wednesday. The euro was steady at 1.4219 while gaining to 133.21 yen from 132.83.
The market was wary after Wall Street giant Morgan Stanley posted a quarterly loss of 1.25 billion dollars, dampening optimism over the performance of some of its rivals.
Investors "aren't wild with joy over the results, and the numbers diverge from the first batch of earnings reports," said Sumitomo Mitsui Banking Corp. chief strategist Daisuke Uno.
Investors were also digesting Federal Reserve Chairman Ben Bernanke's second congressional testimony in which he reiterated that the US economy was not yet strong enough for an end to the Fed's highly stimulative monetary policy.
Persistent weakness in the job and housing markets have caused concern that any US economic recovery may be slower than expected.
The yen is also considered a safe haven currency in times of market turmoil, but political and economic uncertainty in Asia's largest economy has tempered demand for the Japanese unit, dealers said.
Japan is gearing up for an election next month that looks likely to sweep Prime Minister Taro Aso's party from power after more than a half-century of almost unbroken rule.
The British pound fell to 1.6459 dollars from 1.6474 after minutes from the Bank of England's July meeting failed to offer fresh clues on the outlook for its monetary policy, dealers said.
The dollar rose to 93.70 yen in Tokyo morning trade from 93.56 in New York late Wednesday. The euro was steady at 1.4219 while gaining to 133.21 yen from 132.83.
The market was wary after Wall Street giant Morgan Stanley posted a quarterly loss of 1.25 billion dollars, dampening optimism over the performance of some of its rivals.
Investors "aren't wild with joy over the results, and the numbers diverge from the first batch of earnings reports," said Sumitomo Mitsui Banking Corp. chief strategist Daisuke Uno.
Investors were also digesting Federal Reserve Chairman Ben Bernanke's second congressional testimony in which he reiterated that the US economy was not yet strong enough for an end to the Fed's highly stimulative monetary policy.
Persistent weakness in the job and housing markets have caused concern that any US economic recovery may be slower than expected.
The yen is also considered a safe haven currency in times of market turmoil, but political and economic uncertainty in Asia's largest economy has tempered demand for the Japanese unit, dealers said.
Japan is gearing up for an election next month that looks likely to sweep Prime Minister Taro Aso's party from power after more than a half-century of almost unbroken rule.
The British pound fell to 1.6459 dollars from 1.6474 after minutes from the Bank of England's July meeting failed to offer fresh clues on the outlook for its monetary policy, dealers said.