The US dollar gained against the yen but fell back against the euro in midafternoon trade as investors quickly put aside the outcome of the US midterm elections, which saw the Democrats gain control of both houses of Congress, to focus on upcoming US economic data instead, dealers said. At 2.35 pm (0335 GMT), the dollar was at 117.92 yen, up from 117.84 yen in morning trade here. The euro meanwhile gained against the greenback rising to 1.2761 usd, up from 1.2757 usd earlier. Dealers said the major currency pairs are likely to remain in tight ranges ahead of US data due tonight including the trade balance for September, which is expected to improve to 66.9 bln usd from 69.9 bln in August. Commonwealth Bank economist Joseph Capurso noted the August record high trade deficit could prove to be the peak in the cycle given the recent significant decline in energy prices and the prospect that slower domestic demand growth will slow imports. CMC Markets' chief currency strategist Ashraf Laidi said his firm expect the US trade deficit to improve to 60.0 bln usd which will likely lead to further selling in the Australian dollar. The Australian dollar dropped from 0.7701 usd to a low of 0.7662 usd earlier today following the release of labor data for October which showed the unemployment rate dropped to a new 30-year low of 4.6 pct from 4.8 pct in September. Overall employment in Australia for October fell 32,100, with most market economists attributing the fall in the jobless rate to a drop in the participation rate to 64.7 pct from 65.1 pct while the fall in employment is viewed as a long-awaited correction following five months of near 40,000 growth. Laidi said the the unexpected decline in Australia's employment should bring an end to the 4.5 year tightening cycle after the central bank raised its official cash rate by 25 basis point to 6.25 pct yesterday. "Now with the uncertainty of US elections out of the way, and the weakness in Australia's job markets anything but an uncertainty, this confirms that the overnight rate has peaked at 6.25 pct which should encourage traders to unwind their Aussie carry trades against the yen and swiss franc," he said. "With the trade deficit at 4-month highs due to declining mining and farm exports and the undergoing drought exacerbating job losses, all the elements are in play for calling up the 0.7600 usd level."