Yen gains vs euro, dollar as oil, stocks falter anew
By Gertrude Chavez-Dreyfuss
NEW YORK (Reuters) - The yen rose sharply against the euro and dollar on Friday after yet another downbeat session for oil prices and stock markets worldwide, underscoring worries about global growth.
The dollar fell overall, with the higher than-expected U.S. inflation data for January having limited impact. Analysts said declining oil and equities took the shine out of the dollar.
U.S. data this week has been generally positive, however, helping the dollar index .DXY post its best weekly performance in about two months.
The index was last down 0.3 percent on the day at 96.64.
Sterling climbed against the dollar on Friday after France's President Francois Hollande expressed hope that EU leaders would reach a deal to help Britain stay in the bloc at a summit in Brussels.
But the focus remained squarely on oil and equities, two assets that have struggled this year.
"With stock market fluctuations having recently followed crude oil prices closely, the Japanese yen continued to benefit from its safe haven status when equity markets fall," said Matt Weller, senior market analyst at FOREX.com, in Grand Rapids, Michigan.
"Though equities have recovered some of the losses from earlier in the month, any major return of market volatility may likely boost the yen even further." Continued...