Investing.com - The dollar rose against the yen on Friday as hopes held firm that U.S. policymakers will find a way out of a fiscal impasse that has kept the government closed for 11 days and has fanned fears that defaults may be possible in the coming weeks.
In U.S. trading on Friday, USD/JPY was trading at 98.54, up 0.38%, up from a session low of 97.92 and off a high of 98.58.
The pair was likely to find support at 96.57, Monday's low, and resistance at 98.72, the high from Oct. 1.
Expectations for an end to the U.S. fiscal deadlock grew after Republicans on Thursday offered to extend the government's borrowing authority for several weeks, temporarily staving off a default and bolstering demand for the greenback.
The White House has yet to agree on the offer, which capped the dollar's gains, though talks between President Barack Obama and congressional Republicans continued Friday, which supported the greenback against the single currency somewhat.
Elsewhere, the Thomson Reuters/University of Michigan's preliminary consumer sentiment index for October fell to 75.2 from a reading of 77.5 in September.
Analysts were expecting a downtick to 76.0.
The study also found that inflation expectations for this month declined to 2.9%, from 3.3% in September.
Earlier Friday, Japan Minister of Economy Akira Amari urged U.S. politicians to show some responsibility, stressing that if the current shutdown was allowed to continue, the U.S. could default on its debt.
U.S. Treasury Secretary Jack Lew reiterated Thursday that the U.S. will reach its debt ceiling on Oct. 17 and warned that the political crisis is starting to hurt the economy. Lew was making his comments during testimony before the Senate finance committee.
The yen was down against the pound and down against the euro, with GBP/JPY up 0.29% and trading at 157.19 and EUR/JPY trading up 0.54% at 133.44.
In U.S. trading on Friday, USD/JPY was trading at 98.54, up 0.38%, up from a session low of 97.92 and off a high of 98.58.
The pair was likely to find support at 96.57, Monday's low, and resistance at 98.72, the high from Oct. 1.
Expectations for an end to the U.S. fiscal deadlock grew after Republicans on Thursday offered to extend the government's borrowing authority for several weeks, temporarily staving off a default and bolstering demand for the greenback.
The White House has yet to agree on the offer, which capped the dollar's gains, though talks between President Barack Obama and congressional Republicans continued Friday, which supported the greenback against the single currency somewhat.
Elsewhere, the Thomson Reuters/University of Michigan's preliminary consumer sentiment index for October fell to 75.2 from a reading of 77.5 in September.
Analysts were expecting a downtick to 76.0.
The study also found that inflation expectations for this month declined to 2.9%, from 3.3% in September.
Earlier Friday, Japan Minister of Economy Akira Amari urged U.S. politicians to show some responsibility, stressing that if the current shutdown was allowed to continue, the U.S. could default on its debt.
U.S. Treasury Secretary Jack Lew reiterated Thursday that the U.S. will reach its debt ceiling on Oct. 17 and warned that the political crisis is starting to hurt the economy. Lew was making his comments during testimony before the Senate finance committee.
The yen was down against the pound and down against the euro, with GBP/JPY up 0.29% and trading at 157.19 and EUR/JPY trading up 0.54% at 133.44.