14 September 2001, 09:13  Asia FX Midday: Consolidation still continues since US blasts

Hong Kong, Sept. 14 (BridgeNews) - Consolidation continued in the major currencies market Friday morning with the market remained quiet since the terrorist attacks in the U.S. on Tuesday. Dollar/yen stalled in a range of 118.72-119.05 as of 1200 JT, little changed from the New York closing of 118.80 as the direction remained unclear after the blasts. Dollar/yen rose to 119.05 on demand for the greenback toward the Tokyo's retail fixing at 0955 JT. There was an expectation of U.S. dollar weakness resulting from a further slide in the U.S. stock market when it reopens Monday. The Yomiuri Shimbun reported that the Bank of Japan is considering easing policy further at its monetary policy meeting scheduled for Tuesday and Wednesday. Japan's State Minister for Economic and Fiscal Policy Heizo Takenaka said he would like to attend the BOJ's policy board meeting slated for next week. He also said he will make a decision on what to say at the meeting after closely watching the conditions in the New York markets. In other currency trading, euro/dollar traded 0.9093-0.9125, retreating slightly on technical factors, with the market appearing slightly overbought after overnight gains. Euro/yen confined to a narrow trading range of 108.10-108.36 as of 1200 JT.

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