Euro extends gains against yen, up 1 percent on day

by on August 3, 2012 11:12 am BST

Fri Aug 3, 2012 7:12am EDT

Aug 3 (Reuters) – The euro extended gains against
the yen on Friday as investors cut short positions against the
common currency after peripheral bond yields turned lower on
expectations of future European Central Bank intervention.

The euro was up 1 percent on the day at 96.238 yen
, pulling away from the day’s low of 95.04 yen and well
above an 11-1/2 year low of 94.12 yen.

The euro was also 0.9 percent higher against the dollar
at $1.22923 as investors’ short positions were squeezed
and after stops were triggered in the move above $1.2250.