Dollar recovers in Tokyo

Published December 7th, 2000 - 02:00 GMT

The dollar recovered against major currencies Thursday, December 7, in Tokyo after falling in overseas markets after Wall Street shares declined, dealers said. 

 

The greenback traded at 110.39-41 yen at 2:00 pm (0500 GMT), up from 110.29-37 yen in New York, but down from 110.73-76 yen in Tokyo late Wednesday. 

 

"The dollar had been sold in overseas markets as the Nasdaq fell, but there is no further lead for dollar-selling," said Fuji Bank dealer Hideyuki Tsukamoto. 

 

"Investors bought back the dollar," Tsukamoto said, adding there was no particular lead for the dollar's rise. 

"The euro/dollar rate has hardly moved in Tokyo," he added. 

The euro bounced over $0.89 in late New York trading, due to a retreat by US stocks on profit-taking from Tuesday's record rally.  

 

On Wall Street, the Dow Jones Industrial Average lost 2.2-percent after rising 3.2-percent Tuesday, while the Nasdaq dropped 3.2-percent following its record 10.5-percent rise a day earlier. 

 

"US banks bought back the dollar without any particular lead," Sanwa Bank dealer Mitsuru Sahara said.  

Against the yen, the euro bought 98.29 around 2:00 pm, up from 97.35 yen in Tokyo Wednesday afternoon. 

 

"As the euro reached the 89 cent range, it also went higher against the yen," Sahara said. 

In Singapore, research house IDEAglobal said the main support for the euro was at $0.8800. 

 

"However, given recent price action, further topside gains will be hard fought above the $0.8930 level," it said in a report.— (AFP)  

 

© Agence France Presse 2000  

© 2000 Mena Report (www.menareport.com)

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