* Dollar/yen slumps to 5-month low
* Trump also says he prefers to see Fed keep rates low
By Shinichi Saoshiro
TOKYO, April 13 The dollar slumped broadly on
Thursday, falling to a five-month low against the yen, after
U.S. President Donald Trump helped accelerate its recent decline
by saying the currency was too strong.
The greenback took a heavy hit after Trump told the Wall
Street Journal that the dollar "is getting too strong" and that
he would prefer the Federal Reserve to keep interest rates low.
The comments were a fresh reminder of the president's
protectionist trade rhetoric, which has been a source of concern
for dollar bulls.
"Trump's comments came at a time when some had begun to
think that perhaps the president was not as supportive of a weak
dollar as initially perceived," said Shin Kadota, senior
strategist at Barclays in Tokyo.
"But he reiterated his view that a strong currency hurts
U.S. competitiveness, adding fresh downward pressure on the
The U.S. currency was a shade lower at 109.000 yen
after stooping to a five-month low of 108.920.
It has shed 1.8 percent against the yen so far this week,
with the safe-haven Japanese currency already on a bullish
footing because of a rise in geopolitical tensions.
There are fresh concerns about the French presidential
election and possible U.S. military action against Syria and
The euro was steady at $1.0669, not far from a
six-day high of $1.0675 reached overnight.
The dollar lost significant ground against the pound and
Swiss franc as well, and as a result the dollar index versus a
basket of major currencies was down 0.6 percent at 100.100
The Australian dollar was given some breathing room as the
It was up 0.2 percent at $0.7542, pulling away from
a three-month low of $0.7473 plumbed the previous day when
wide-spread risk aversion amid simmering geopolitical concerns
took its toll on the Aussie.
The yield on the benchmark U.S. 10-year Treasury note
was at 2.244 percent after touching 2.239 percent
overnight, its lowest in nearly five months.
(Reporting by Shinichi Saoshiro; Editing by Eric Meijer)