Yen edges down after Bank of Japan meeting
September 05, 2013
Latest Update: September 05, 2013 10:45 pm
The yen slipped against the dollar in Asian trade today on growing expectations of strong US jobs data while the Bank of Japan (BoJ) issued an upbeat assessment of the world's third-largest economy.
The greenback bought 99.95 yen (RM3.2989) in afternoon trading against 99.74 yen in New York yesterday afternoon, while the euro was flat at 131.70 yen.
The European single currency slipped to US$1.3179 (RM4.3430) from US$1.3204.
The dollar firmed as expectations grow of strong payrolls data this week, traders said.
A boost in employment figures could seal the deal for the Federal Reserve to start tapering the pace of its massive bond purchases later this month, which would send US bond yields and the dollar higher.
The Japanese central bank's board today voted unanimously to hold off expanding its own massive monetary easing programme as it wrapped up a two-day policy meeting, saying in a statement that the "economy is recovering moderately".
The statement marked a step-up from last month when the BoJ said the economy was "starting" to recover, but the bank's decision to stand pat on its asset-buying programme was widely expected.
"The impact of the BoJ statement on the market was limited as the wording was within a range of our expectations," said Yosuke Hosokawa, head of FX sales team with Sumitomo Mitsui Trust Bank.