Dollar edges down in Asia

TOKYO: The dollar edged down in Asia Thursday ahead of closely watched US jobless claims and housing data which investors will look to for clues about the strength of the world´s largest economy.

The greenback bought 104.35 yen in Tokyo afternoon trade, down from 104.54 yen in New York Wednesday, while the euro inched higher on the dollar at $1.3546 from $1.3544.The European single currency fetched 141.32 yen, from 141.59 yen in US trade.

"Markets could gain more momentum amid a slightly heavier data slate scheduled for today, with eurozone PMI (purchasing managers´ index) set to improve further while US existing home sales growth will stabilise after three months of declining sales," Credit Agricole said. Investors are keeping a close eye on the US figures ahead of the Federal Reserve´s policy meeting next week, as speculation grows that the Fed will further reduce its stimulus drive.

Last month the central bank said it would trim its bond-buying scheme by $10 billion a month to $75 billion in January, citing a firming economy.