TOKYO (AFX-ASIA) - The dollar was pushed higher against the yen in midafternoon trade, led by active short-covering after Japanese finance minister Masajuro Shiokawa warned of possible intervention to weaken the value of the yen, dealers said. Shiokawa said at a regular press conference that the Japanese government "aims to make the yen weaker against the dollar," adding that "this is our projection, or expectation". The finance minister, however, said Japan is "not considering discussing a weaker yen at the G7 meeting". Daiwa Bank foreign exchange dealer Hijiri Fujiwara said the market showed an immediate reaction to Shiokawa's remarks and pushed the dollar back above the 120 yen level. The dollar also benefited from the decline in the Nikkei 225 index which closed the morning closer to the 11,000 point level, dealers said. But the dollar encountered some upside resistance due to a lack of follow-through buying and ahead of the release of US consumer confidence data, dealers said. "If these data are good enough and the US stock market shows a positive reaction, the dollar may be pushed to the 122-123 yen level this week," Fujiwara said. The release this morning of the July unemployment rate, which jumped to an all-time high of 5.0 pct, did little to affect the market, as local media reports have been suggesting such a possibility for some time now, dealers said. "Investors have already shifting attention to forthcoming data, such as industrial output," Fujiwara said. State Minister for Economic and Fiscal Policy Heizo Takenaka downplayed the importance of the rise in the unemployment rate, adding that such a development was in line with expectations and the government has no plan to launch any new emergency scheme to support employment. The euro remained top-heavy ahead of the approaching central council meeting of the European Central Bank and the release of key US data, dealers said. "If dollar-negative data comes in tandem with a 25 basis point rate cut by the ECB, the euro may rally back to above the 0.92 usd level and may extend its gains eventually towards the 0.94 usd level," Fujiwara said.