[November 13, 2008] Dollar falls into upper 96 yen range in Tokyo morning+ Tweet (Japan Economic Newswire Via Acquire Media NewsEdge) TOKYO, Nov. 14_(Kyodo) _ The U.S. dollar fell into the upper 96 yen range at one point Friday morning in Tokyo with investors reluctant to buy it ahead of the global financial summit slated for this weekend. At noon, the dollar fetched 97.07-12 yen against 97.65-75 yen in New York and 95.65-67 yen in Tokyo at 5 p.m. Thursday. The euro traded at $1.2750-2755 and 123.77-87 yen versus $1.2767-2777 and 124.74-84 yen in New York and $1.2407-2408 and 118.67-71 yen late Thursday in Tokyo. In New York overnight, the U.S. currency rose into the upper 97 yen range after briefly touching the lower 95 yen level, tracing U.S. equities, which staged a mid-day turnaround to end the day more than 6 percent higher. The tailwind continued in Tokyo early in the morning and the dollar briefly tested the 98 yen line. But it soon lost ground, falling some 1 yen into the upper 96 yen range despite a more than 4 percent surge in Japan's key Nikkei stock index. When stocks rise, investors usually buy the dollar and other higher yielding currencies against the yen on an improved tolerance for riskier assets. But the U.S. currency has depreciated relative to the yen with investors cautious about shifting their dollar holdings ahead of the summit meeting, dealers said. The leaders of the Group of 20 advanced and emerging economies are gathering for two days in Washington later this week. Market participants quickly sold the U.S. currency to secure gains after it rose to the 98 yen line, dealers said. "At the moment, market participants are not expecting too much from the weekend meeting," said Etsuko Yamashita, chief economist at Sumitomo Mitsui Banking Corp. Akihiro Tanaka, senior trader at Resona Bank, said, "Selling on the part of Japanese exporters, especially around the 98 yen line," also dragged on the currency. Concern about the U.S. economic outlook, reaffirmed by bleak U.S. employment-related readings released the previous day, also weighed on the dollar. On Thursday, the U.S. Labor Department reported an increase of 32,000 in initial jobless claims in the week ended Nov. 8 from the previous week's revised 484,000. Currency traders said that although investors had expected a weak figure, it fueled further concern about employment conditions in the United States. Copyright ? 2008 Kyodo News International, Inc. [ Back To TMCnet.com's Homepage ]