Dollar higher in Asia ahead of US factory data
Wednesday, 2 September 2009
TOKYO, Sept 1 (AFP): The dollar was higher against the yen in Asia today as traders anticipated upbeat results from a survey of the giant US manufacturing sector due later in the day.
But the greenback lost ground against the euro after German retail sales rose for the first time in three months, adding to hopes of a recovery in the eurozone economies.
The dollar gained to 93.26 yen in Tokyo afternoon trade from 93.08 in New York late Monday. The euro climbed to 1.4357 dollars from 1.4341 and to 133.89 yen from 133.47.
Investors were hoping for fresh signs of an economic recovery from the Institute of Supply Management's survey of the US factory sector, following relatively rosy figures on the Chicago and Milwaukee areas.
"Since the regional figures were positive, markets are expecting an improvement in the overall figure," said Hachijuni Bank forex trader Yoshifumi Suzuki.
The euro was higher in response to official data showing that German retail sales increased 0.7 per cent in July from the previous month-the first improvement since April.
Investors were also looking ahead to key monthly employment figures in the United States slated for release on Friday, amid concerns that a weak labour market could stymie a recovery in the world's largest economy.
Wall Street analysts expect the report to show the US economy lost about 230,000 jobs in August, compared with 247,000 the previous month.
Markets also remained cautious despite a rise in China's Purchasing Managers' Index, a gauge of manufacturing activity, which showed manufacturing expanded for a sixth straight month.
The figures assuaged worries about the Chinese economy a day after Shanghai stocks plunged 6.7 per cent, the steepest drop of the year, on concerns that Beijing authorities are trying to curb lending.
But the greenback lost ground against the euro after German retail sales rose for the first time in three months, adding to hopes of a recovery in the eurozone economies.
The dollar gained to 93.26 yen in Tokyo afternoon trade from 93.08 in New York late Monday. The euro climbed to 1.4357 dollars from 1.4341 and to 133.89 yen from 133.47.
Investors were hoping for fresh signs of an economic recovery from the Institute of Supply Management's survey of the US factory sector, following relatively rosy figures on the Chicago and Milwaukee areas.
"Since the regional figures were positive, markets are expecting an improvement in the overall figure," said Hachijuni Bank forex trader Yoshifumi Suzuki.
The euro was higher in response to official data showing that German retail sales increased 0.7 per cent in July from the previous month-the first improvement since April.
Investors were also looking ahead to key monthly employment figures in the United States slated for release on Friday, amid concerns that a weak labour market could stymie a recovery in the world's largest economy.
Wall Street analysts expect the report to show the US economy lost about 230,000 jobs in August, compared with 247,000 the previous month.
Markets also remained cautious despite a rise in China's Purchasing Managers' Index, a gauge of manufacturing activity, which showed manufacturing expanded for a sixth straight month.
The figures assuaged worries about the Chinese economy a day after Shanghai stocks plunged 6.7 per cent, the steepest drop of the year, on concerns that Beijing authorities are trying to curb lending.