Dollar Down, Tokyo Stocks Up
TOKYO (AP) _ The dollar fell against the Japanese yen Thursday, while share prices on the Tokyo Stock Exchange gained moderately.
The dollar closed at 128.60 yen, down 0.53 yen from Wednesday’s close of 129.13 yen. It opened at 128.30 yen and ranged between 128.07 and 128.75 yen.
The Nikkei Stock Average of 225 selected issues rose 152.39 points, or 0.63 percent, closing at 24,104.43. The index gained 130.47 points on Wednesday.
Oil prices were little changed. The benchmark North Sea Brent crude for March delivery was being traded at about $20 a barrel, nearly the same as closing levels in New York.
Currency dealers said the dollar’s lower opening followed its drop in New York Wednesday, where it finished at 128.13 yen.
″Trading remained mixed after the dollar was bought in the early session″ as traders covered their short, oversold dollar positions, said Takako Kobori, a dealer with Sanwa Bank.
Ms. Kobori said the market expects lower U.S. interest rates.
Makoto Aratake, a dealer with the Bank of Tokyo, said the market is still trying to weaken the dollar against the yen because the U.S. currency has fallen more sharply against other major currencies.
Stock traders said the yen’s strength against the dollar and a 42.57-point gain in the Dow Jones industrial average in New York Wednesday combined to encourage investors.
″Some investors believe that share prices here still are comparatively lower″ than the rising stocks in New York, said Akira Shimoda, an analyst with Yamaichi Securities.
In bond dealings, the price of the benchmark No. 119 10-year Japanese government bonds stood at 89.88 points from Wednesday’s 90.22-point close. Their yield rose to 6.690 percent from 6.620 percent.