Alexa

Dollar rises in Asia on North Korean nuclear test worries

Dollar rises in Asia on North Korean nuclear test worries

The dollar rose Friday as jitters about a possibly imminent North Korean nuclear test made the dollar a safer bet than the yen or the euro.
The dollar was trading at 118.00 yen in Tokyo mid-afternoon, up from 117.61 yen from late Thursday in New York. The euro fell to US$1.2682 from US$1.2690.
Although the dollar could get an additional boost if U.S. employment data beats expectations later in the day, the market is still taking a wait-and-see attitude ahead of minutes from the Federal Open Market Committee's Sept. 20 meeting, to be released next week, tempering the dollar's climb, traders said.
"Players don't want to go into a three-day weekend with yen-long positions because the North Korean risk remains uncertain," said Takehiko Jimbo, chief manager of foreign exchange at Mitsubishi UFJ Trust & Banking Co.
Monday is a national holiday in both Japan and the U.S. Media reports have speculated Pyongyang's nuclear test could come as early as Sunday, the anniversary of Kim Jong Il's appointment as head of the Korean Workers' Party in 1997. Japan said it was stepping up monitoring of North Korea in light of that speculation.
Players are also watching for U.S. nonfarm payrolls data Friday. The U.S. economy is expected to have added 125,000 new jobs in September, according to a Dow Jones Newswires survey of economists. In August, nonfarm payrolls rose by 128,000.
"The employment data are important, but they are a lagging indicator of the economy," said Masafumi Yamamoto, currency strategist at Nikko Citigroup, adding the dollar is unlikely to rise above 118.50 yen as investors want to examine the FOMC meeting's minutes.
The dollar was mixed against other regional currencies, slipping to 33.089 Taiwan dollar from 33.130 the previous day, while gaining to 45.632 Indian rupee from 45.58 and 50.010 Philippine peso from 49.900.


Updated : 2021-04-14 12:58 GMT+08:00