Yen nurses losses as stocks rally cheers mood

London

THE yen nursed losses against the dollar on Thursday as calm returned to currency markets with gains in global equities, including a 5 per cent jump in Shanghai, underpinning risk sentiment and sapping demand for safe haven currencies.

Comments from an influential Federal Reserve official on Wednesday downplaying prospects of a September interest rate hike helped improve sentiment. In the currency market, investors reacted by unwinding recent moves that had lifted both the yen and the euro.