Dollar hovers at 8-month yen highs in Asia

TOKYO, Sept 3 (AFP) : The dollar hovered around eight-month highs against the yen in Asia Wednesday, powered by upbeat US manufacturing data, as the Bank of Japan kicked off a two-day policy meeting.

In Tokyo the greenback bought 105.06 yen, its highest level since January, after climbing as high as 105.30 yen earlier in the day. It bought 105.10 yen late in New York.

The euro weakened to $1.3129 and 137.85 yen from $1.3132 and 138.02 yen, as investors turn their focus to a European Central Bank (ECB) meeting.

The dollar's rise came as Japanese Prime Minister Shinzo Abe's new cabinet was announced.

The market friendly appointments were in line with media reports, which had sent stocks higher and the yen lower on hopes a new minister in charge of Japan's bond-heavy public pension fund would shift more of its assets into equities.