The yen on Friday rose against major currencies as concerns about the upcoming French elections and the lack of movement in fiscal changes in the US kindled safe-haven demand for the Japanese currency.
The US dollar gained against most peers with the exception of the yen, chalking up a second week of gains following a mildly hawkish view from US Federal Reserve Chair Janet Yellen and surprising strong US data on retail sales and consumer prices.
The US dollar index, which tracks the greenback against a basket of trade-weighted peers, rose 0.44 percent to 100.89, reversing Thursday’s 0.7 percent drop that was its steepest one-day loss in more than two weeks. The index eked out a weekly gain of 0.1 percent.
“We are trading in this political policy vacuum,” Mazen Issa, senior FX strategist at TD Securities in New York, said of the US dollar. “We are going to see things whipsaw around.”
In Taipei, the New Taiwan dollar on Saturday fell against the greenback, losing NT$0.020 to close at NT$30.796 after moving in a quiet session on reduced turnover, dealers said.
The NT dollar rose 0.8 percent against the US dollar from last Friday’s NT$31.051.
Weaker stock prices around the world, together with a three-day US holiday weekend, further fed appetite for the yen.
The yen on Friday rose 0.3 percent against the US dollar to ￥112.87 and gained 0.9 percent against the euro to ￥119.78.
News that the French left could unite behind one candidate in presidential elections, possibly knocking centrist and right-leaning nominees out of the race in the first round, raised a new scenario for a second-round runoff.
The euro fell 0.6 percent against the US dollar at US$1.0612, holding above a five-week low of US$1.0520 struck on Wednesday and gaining 0.3 against the greenback for the week.
Sterling on Friday sank to a 10-day low against the euro after a surprise third monthly fall running in British retail sales pointed to weakening consumer sentiment.
The British pound lost about 0.5 percent against the common currency at ￡0.86 per euro.
It fell to a one-week low of US$1.2388, down almost 1 percent on the day, before recovering to US$1.2418 in the afternoon. The pound is down 0.4 percent against the greenback from last week’s US$1.2463.
Additional reporting by CNA
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion
’WHITE BOX’: The open platform would give local firms access to Cisco’s cloud-based mobile network to develop 5G telecom equipment and tap into the global market The Ministry of Economic Affairs (MOEA) yesterday introduced a new 5G “open lab” in collaboration with US-based information technology and networking giant Cisco Systems Inc to address the rapidly growing “white box” 5G networking equipment market. The open lab will be a platform where Taiwanese manufacturers can access Cisco’s cloud-based mobile network to develop their own 5G telecom equipment, such as small-cell base stations, network switches, modems and Internet of things (IoT) devices, a ministry statement said. The open platform would allow Taiwanese manufacturers to tap into the lucrative 5G telecom equipment market, which was previously monopolized by Nokia Oyj, Ericsson AB