Dollar rises against yen in Tokyo trade

Published October 16th, 2000 - 02:00 GMT

The dollar rose against the yen in Tokyo Monday as investors sold the Japanese currency following worsening corporate bankruptcy figures, a dealer said. 

 

Around 6:00 pm (0900 GMT), the US unit was quoted at 108.09 yen, up from 107.75 yen in New York and 107.72 yen in Tokyo late Friday. 

 

"Investors sold the yen as Teikoku Data Bank announced that the number of corporate bankruptcies in September had increased by 9.5 percent compared with a year before," said Fuji Bank dealer, Wako Ogawa. 

 

Corporate bankruptcies in the first half of fiscal 2000 rose to 9,473 cases, the seventh-highest postwar figure, with liabilities of bankrupt firms reaching a record high of 10,914 billion yen (100.98 billion dollars), the private credit research agency said Monday. 

 

The euro meanwhile traded at 0.8529 dollars around 6:00 pm, down from 0.8538 dollars in New York and 0.8648 dollars in Tokyo late Friday. 

 

Against the Japanese currency, the euro bought 92.19, down from 92.43 in New York, but up from 93.11 in Tokyo Friday afternoon. 

 

Sentiment towards the European unit remained depressed, dealers in Singapore said. 

"The market is waiting to sell (the euro) in a rally but not at this level," said a dealer at BNP Paribas. 

 

Investors are eying the 0.8600-dollar level to dump the euro, he said. 

Tensions in the Middle East have shown investors' inclination to regard the the US as a safe haven. 

"Rising tension in the Middle East prompted investors to seek safety in the US treasuries," DBS Group Holdings said in a report Monday. 

"The flight to safety caused the euro to lose its hard earned gains," the financial group said. 

 

In late Singapore trade, the dollar fell to 1.7508 Singapore dollars from 1.7534, 8,855 Indonesian rupiah from 8,970, 43.32 Thai baht from 43.485 and 1,127.20 South Koreaan won from 1,128.6001. 

The greenback rose to 48.72 Philippine pesos from 48.355 and 31.98 Taiwan dollars from 31.8025. – (AFP). 

 

© Agence France Presse 2000 

 

 

 

© 2000 Mena Report (www.menareport.com)

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