Dollar eases, but still near 8-month high at lower 109 yen in Tokyo

The US dollar eased slightly to lower 109 yen in Tokyo Tuesday after hitting an eight-month high overnight overseas amid expectations of wider interest rate differentials between the United States and other major economies.

At 5 pm (0800 GMT), the dollar was quoted at 109.31-33 yen against Monday's 5 pm quotes of 109.49-59 yen in New York and 108. 56-58 yen in Tokyo.

It moved between 109.22 yen and 109.61 yen during the day, trading most frequently at 109.42 yen. The day's peak was close to the fresh eight-month high of 109.69 yen marked in New York overnight.

The euro was quoted at 1.2130-2132 dollars and 132.60-64 yen, compared with 1.2104-2114 dollars and 132.65-75 yen at 5 pm Monday in New York.

After its sharp rise overnight, the dollar fell gradually in Tokyo as Japanese exporters and other market players found the dollar trading above the 109 yen line an incentive to sell, dealers said.

The market is now paying close attention to a series of key US economic data this week.

Source: Xinhua