Euro firm after Greek climbdown on referendum

TOKYO: The euro held firm against other major currencies in Asia on Friday as risk appetite grew on expectations that Greece will drop its controversial plan to call a referendum on the region's rescue package.

The single currency fetched $1.3810 and 107.76 yen in Tokyo afternoon trade, almost flat from late Thursday in New York where the unit rose on a surprise European rate cut and relief over the Greek backstep on the poll.

The dollar was at 77.99 yen, from 78.03 yen. Trading was quiet ahead of a key US monthly jobs report to be released later Friday.

Dealers said the chance of renewed Japanese yen-selling intervention had receded after Tokyo's move on Monday pushed the dollar up from a post-war low of 75.32 yen.

Greek Prime Minister George Papandreou on Thursday took a step back from his plan to hold a referendum, a move that had incensed European leaders after they had agreed on a plan to tackle the eurozone's debt crisis and bailout Athens.

The European Central Bank on Thursday cut its key interest rate by a quarter-point to 1.25 percent, a measure that had been considered unlikely, just after new chief Mario Draghi took control.

The dollar was mostly lower against major Asian currencies due to growing risk appetite.

It fell to Sg$1.2654 from Sg$1.2818 on Thursday, to 1,112.10 South Korean won from 1,132.39, and to Tw$30.00 from Tw$30.20.

It also dipped to 8,970.00 Indonesian rupiah from 8,973.00, and to 30.60 Thai baht from 30.85. However, it edged up to 42.96 Philippine pesos from 42.93. (AFP)