LONDON: The dollar traded in the mid-120 yen zone Thursday morning in Tokyo as it fluctuated at the mercy of volatile Tokyo stocks.
At noon, the dollar fetched 120.40-41 yen compared with 120.47-57 yen in New York and 120.67-69 yen in Tokyo at 5 p.m. Wednesday.
The euro was quoted at $1.1211-1212 and 134.98-135.00 yen against $1.1202-1212 and 135.04-09 yen in New York and $1.1178-1180 and 134.89-93 yen in Tokyo late Wednesday afternoon.
The dollar dropped to the lower 120 yen level early in the morning as the 225-issue Nikkei Stock Average opened sharply lower after it posted the sixth largest ever daily gain of more than 1,300 points on the previous day.
After slipping below the 120 yen line in midmorning, the U.S. unit showed some resilience as Japanese equities paired earlier losses.
But the dollar remained top-heavy as sluggish global equities again dampened traders’ risk-taking sentiment, dealers said. U.S. stocks fell overnight and Shanghai equities started the day lower.
“With the dive by Tokyo stocks after the previous day’s run-up and the slides in U.S. and Chinese stocks, a risk-off mood has come back.
