Euro steady after ECB and Greek debt meetings
The euro held its gains on Thursday, bolstered by the European Central Bank’s upbeat inflation forecasts and hopes for a lastminute Greek bailout deal.
In Tokyo afternoon trading, the common currency bought US$1.1267 and 140.10 yen, against US$1.1270 and 140.01 yen in U.S. trade.
Upbeat U.S. figures and a positive Federal Reserve report on the state of the world’s top economy boosted the dollar, which fetched 124.43 yen, against 124.23 yen in New York.
After a policy meeting Wednesday, the European Central Bank kept its key interest rates unchanged at record lows and its president Mario Draghi said it would maintain its bond-buying stimulus programme, putting an end to talk it could be wound down early.
The ECB also projected eurozone inflation would reach 0.3 percent in 2015, up from its previous forecast of flat prices, while it kept its 2016 forecast at 1.5 percent and its 2017 forecast at 1.8 percent.
Adding to upbeat sentiment were hopes of a possible deal in Greece’s bailout talks with its creditors ahead of a Friday deadline for it to repay some of its debt.
The dollar mostly stronger against other Asia-Pacific currencies.
It rose to 1,112.13 South Korean won from 1,104.80 won, and to 33.75 Thai baht from 33.64 baht.
The greenback also firmed to 13,248 Indonesian rupiah from 13,204 rupiah, to 44.86 Philippine pesos from 44.63 pesos, to 64.17 Indian rupees from 63.79 rupees, and to SG$1.3468 from SG$1.3461.
The Australian dollar weakened to 77.25 U.S. cents from 77.97 cents while the Chinese yuan bought 20.02 yen against 19.96 yen.