Dollar hits three-week high vs yen on trade optimism; U.S. jobs report in focus

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Dollar hits three-week high vs yen on trade optimism; U.S. jobs report in focus
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Dollar hits three-week high vs. yen on trade optimism; U.S. jobs data awaited

TOKYO - The dollar rose to a three-week high versus the yen on Friday, lifted by expectations that a protracted trade dispute between the United States and China would be resolved soon.

The greenback has gained about 0.85 percent against its safe-haven Japanese peer this week, thanks also to factors such as strong U.S. economic data and broad improvement in risk appetite. U.S. President Donald Trump said on Thursday both countries were getting very close to a trade deal that could be announced within four weeks.

“In particular focus is how strong the earnings component of the jobs report turns out to be. A strong wages outcome would underline robust private consumption and hasten the rebound in Treasury yields and in turn allow dollar/yen to test fresh highs,” said Junichi Ishikawa, senior FX strategist at IG Securities in Tokyo.The euro was steady at $1.1223, capped firmly after data released on Thursday showed German industrial order dropped in February.

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