Yen edges higher in Asia
TOKYO–The yen edged up against the dollar in Asia Friday morning as investors adjusted their positions ahead of Japan’s upper house election.
The dollar bought 100.42 yen in morning trade, compared with 100.50 yen late in New York but still well up from 100.05 yen in Tokyo Thursday, while the euro fell to $1.3107 yen from $1.3112 while rising to 131.87 from 131.77 yen.
Traders have been moving out of the yen in the past week after US Federal Reserve chief Ben Bernanke made assurances that the bank’s stimulus would be kept in place for as long as needed. The unit has also faced selling pressure ahead of Sunday’s poll that will elect half of the 242-member upper house of parliament.
Prime Minister Shinzo Abe’s ruling party is expected to win comfortably, giving him further power to push through his big-spending policies to boost the economy that also weigh on the yen.
After selling the yen for most of the week, a dealer at the Bank of Tokyo-Mitsubishi UFJ said dealers are now readjusting their positions, providing a lift to the Japanese unit.