awaited@ (Corrects date of Bank of Japan meeting in fifth paragraph)
* Consensus calls for June payrolls to rise by 175,000
* Yen shy of post-Brexit highs, with BOJ to meet next week
TOKYO, July 8 (Reuters) – The dollar edged down against most major currencies in Asian trade on Friday but remained on track for a weekly gain, as investors awaited U.S. jobs data later in the session to see if the labor market is stronger than previous surveys indicated.
The consensus forecast is for a 175,000 jobs gain for June, according to a Reuters poll, but investors remain wary given the negative surprise in the May payrolls report, which some expect to be upwardly revised.
A report overnight showed U.S. private payrolls rose more than expected in June and jobless claims were lower than forecast.
The dollar index, which tracks the greenback against a basket of six major rivals, was down 0.1 percent at 96.246 . But it was still poised for a 2.1 percent gain in a week marked by volatile trade in the wake of Britain’s surprise vote to exit the European Union last month.
The perceived safe-haven yen inched down, as investors pondered whether the Bank of Japan will decide to take further stimulus action at the conclusion of its two-day policy meeting on July 29, and what form such steps might take.
“Cutting rates is one of the key options the BOJ may look to when it eases policy next,” strategists at Nomura wrote in a note.
“After its adoption on 29 January, its negative rate policy has not succeeded in improving investor sentiment, as concerns over the negative impact on bank earnings were highlighted more than its benefits,” they said.
The dollar was 0.2 percent higher against the yen at 100.83 yen, still holding above its post-Brexit low of 99 yen hit on June 24.
The euro added 0.2 percent to 111.64 yen, moving away from a 3 1/2-year low of 109.30 logged after the Brexit vote. It edged up 0.1 percent to $1.1071.
Recently battered sterling was up 0.2 percent at $1.2942 , holding above 31-year lows logged earlier this week. But some analysts expect it to drop as low as $1.20 in the coming months as the Bank of England prepares to ease monetary policy to blunt the impact of the Brexit move.
The Australian dollar was up 0.3 percent at $0.7499 finding its feet a day after S&P downgraded the outlook on Australia’s AAA credit rating to negative from stable.
Courtesy : cnbc.com