Investing.com - The dollar fell against the yen on Friday despite better-than-expected consumer sentiment data out of the U.S., as investors viewed the yen as a safe-haven asset class should an end to Federal Reserve stimulus policies roil emerging market currencies.
In U.S. trading on Friday, USD/JPY was trading at 98.22, down 0.14%, up from a session low of 97.89 and off a high of 98.48.
The pair was likely to find resistance at 98.51, Thursday's high, and support at 96.82, Tuesday's low.
The Thomson Reuters/University of Michigan revised consumer sentiment index for August rose to 82.0. from a reading 80.0 in July, beating expectations for an uptick to 80.5.
Elsewhere in the U.S., a widely-watched Chicago purchasing managers' index rose to 53.0 this month from 52.3 in July, in line with expectations.
Friday's data rekindled expectations that the Federal Reserve may begin to taper its USD85 billion monthly bond-buying program in September as opposed to later in the year.
Monetary stimulus tools such as Federal Reserve asset purchases weaken the dollar by driving down interest rates, and talk of their dismantling strengthens the greenback.
Also Friday, the Bureau of Economic Analysis revealed that personal spending rose slightly less than expected in July, expanding 0.1% after an upwardly revised 0.6% increase the previous month. Analysts were expecting personal spending to rise 0.3% last month.
The dollar rose against most other currencies, though it weakened against the yen.
Past and present rounds of Federal Reserve asset purchases have weakened the dollar and strengthened emerging-market currencies, though fears have grown that an end to ultra-loose monetary policies in the U.S. may rattled currencies elsewhere, which sparked safe-haven demand for the liquid yen on Friday.
Concerns that the U.S. may soon launch limited military strikes against Syria for the latter's alleged use of chemical weapons further bolstered the yen's appeal.
U.S. Secretary of State John Kerry said earlier the U.S. has "high confidence" that Syria has used chemical weapons in its civil war and added that U.N. inspectors will only determine whether such weapons were used and but not report who used them.
Kerry's words left many investors concluding the U.S. may continue with plans to attack Syria even if its allies urge more patience.
The yen, meanwhile, was up against the pound and up against the euro, with GBP/JPY down 0.28% and trading at 152.07 and EUR/JPY trading down 0.32% at 129.74.
In U.S. trading on Friday, USD/JPY was trading at 98.22, down 0.14%, up from a session low of 97.89 and off a high of 98.48.
The pair was likely to find resistance at 98.51, Thursday's high, and support at 96.82, Tuesday's low.
The Thomson Reuters/University of Michigan revised consumer sentiment index for August rose to 82.0. from a reading 80.0 in July, beating expectations for an uptick to 80.5.
Elsewhere in the U.S., a widely-watched Chicago purchasing managers' index rose to 53.0 this month from 52.3 in July, in line with expectations.
Friday's data rekindled expectations that the Federal Reserve may begin to taper its USD85 billion monthly bond-buying program in September as opposed to later in the year.
Monetary stimulus tools such as Federal Reserve asset purchases weaken the dollar by driving down interest rates, and talk of their dismantling strengthens the greenback.
Also Friday, the Bureau of Economic Analysis revealed that personal spending rose slightly less than expected in July, expanding 0.1% after an upwardly revised 0.6% increase the previous month. Analysts were expecting personal spending to rise 0.3% last month.
The dollar rose against most other currencies, though it weakened against the yen.
Past and present rounds of Federal Reserve asset purchases have weakened the dollar and strengthened emerging-market currencies, though fears have grown that an end to ultra-loose monetary policies in the U.S. may rattled currencies elsewhere, which sparked safe-haven demand for the liquid yen on Friday.
Concerns that the U.S. may soon launch limited military strikes against Syria for the latter's alleged use of chemical weapons further bolstered the yen's appeal.
U.S. Secretary of State John Kerry said earlier the U.S. has "high confidence" that Syria has used chemical weapons in its civil war and added that U.N. inspectors will only determine whether such weapons were used and but not report who used them.
Kerry's words left many investors concluding the U.S. may continue with plans to attack Syria even if its allies urge more patience.
The yen, meanwhile, was up against the pound and up against the euro, with GBP/JPY down 0.28% and trading at 152.07 and EUR/JPY trading down 0.32% at 129.74.