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Euro gains in Asia in tandem with rising stocks

Euro gains in Asia in tandem with rising stocks

The euro rose in Asian trade yesterday as gains on world stock markets boosted demand for risk-sensitive currencies, dealers said.
The euro climbed to US$1.4312 in Tokyo afternoon trade from 1.4294 in New York late on Tuesday, and to 134.76 yen from 134.62. The dollar was little changed at 94.17 yen against 94.15.
Investors bought currencies regarded as well placed to benefit from an economic recovery, after a rebound in U.S. consumer confidence lifted stocks in the United States and Asia, including in China.
"The focus is still on Shanghai shares," said Akira Takeuchi, a dealer at Chuo Mitsui Trust Bank.
The Shanghai stock market has endured a rollercoaster ride in recent weeks as investors fret over whether a bubble in the market is deflating. The Shanghai Composite Index was up 1.5 percent at midday yesterday.
China's economy has held up better than many others due to a massive stimulus package, but Prime Minister Wen Jiabao warned this week that the situation was "still very grave."
Traders bought the euro after the U.S. Conference Board reported its consumer confidence index rebounded to 54.1 points in August, well above analyst forecasts and snapping two months of decline.
Against Asian currencies, the dollar fell to 1.4412 Singapore dollars from 1.4417 a day earlier and to 1,245.45 South Korean won from 1,247.00, while holding steady at 34.00 Thai baht. At the same time it rose to NT$32.91 from 32.88, to 48.72 Philippine pesos from 48.57 and to 10,055 Indonesian rupiah from 9,980.


Updated : 2021-01-24 02:35 GMT+08:00