Thursday, 02 July 2015 11:16
TOKYO: The euro ticked higher in Asia on Thursday as an upbeat US jobs report boosted sentiment while investors look to this weekend’s referendum on Greece’s bailout.
The single currency bought $ 1.1072 and 136.59 yen in Tokyo trade, up from $ 1.1053 and 136.12 yen in New York late Wednesday.
The dollar was at 123.37 yen against 123.15 yen and well up from the 122.48 yen in Tokyo earlier Wednesday.
A gauge of US manufacturing activity for June came in Wednesday at its highest level in five months, while a survey of private job creation marked its strongest reading this year.
Investors are now turning their focus to non-farm payrolls later Thursday, which is expected to supply more evidence that the world’s top economy is gaining strength.
“It is hard to take positions ahead of the release of US unemployment figures, which are expected to show positive results,” said Nomura Securities currency analyst Shinya Harui.
“The Greek referendum this weekend is another factor…Players first want to confirm the vote results, which may trigger further instability in the market,” he added.
Greece goes to the polls Sunday to decide where or not to accept creditors’ austerity-heavy bailout reform proposals, which European leaders have cast as an in/out vote on the country’s future in the eurozone.
However, while creditors dismissed an offer from Greece for a new bailout — which had been presented just before it defaulted — traders are confident the crisis will eventually be resolved.
