Asian markets down after yen hits new 15-year-high

BANGKOK: Asian stock markets slipped Thursday as investors digested a disappointing U.S. jobs report and the yen's overnight climb to a new 15-year high against the dollar. 

Japan's Nikkei 225 stock average was virtually flat at 9,694.97 as the index fluctuated in and out of negative territory. But it held onto gains of more than 3 percent made over the last two days after the Bank of Japan cut interest rates to near zero and announced plans to establish an asset-buying fund. 

Elsewhere, South Korea's Kospi fell 0.2 percent to 1,899.43 and Australia's S&P/ASX 200 was negligibly lower at 4,685.7. Hong Kong's Hang Seng index was down 0.1 percent to 22,850.18. 

Meanwhile, the dollar continued its slide, most notably against the yen and the euro. The euro jumped to an eight-month high against the dollar. The Japanese yen was at a new 15-year high against the dollar in New York on Wednesday before rebounding slightly. 

The yen last hit a 15-year high on Sept. 15, just before the Bank of Japan intervened in foreign exchange markets to weaken the currency. The yen's strength has been battering the country's vital exporters. 

The greenback's malaise comes amid expectations that the U.S. Federal Reserve will take steps to support the U.S. economy by buying U.S. government debt. That would drive down long-term interest rates and trigger economic activity. But lower rates also mean that assets bought in dollars offer investors lower returns, dragging down the dollar as investors send funds to Asia and other regions with higher returns. 

In New York on Wednesday, the Dow Jones industrial average rose 0.2 percent to close at 10,967.65. But broader indexes retreated. The Standard & Poor's 500 fell 0.1 percent to 1,159.97, while the Nasdaq composite index fell 0.8 percent to 2,380.66. 

Payroll company ADP said private employers cut jobs in September for the first time in seven months. Another jobs report, the more important Labor Department jobs survey is expected Friday. 

In currencies, the dollar was trading at 82.91 yen from 82.96 yen late Wednesday. The euro fell to $1.3914 from $1.3917. 

Benchmark crude for November delivery was up 30 cents at $83.53 a barrel in electronic trading on the New York Mercantile Exchange. The contract added 41 cents to settle at $83.23 a barrel on Wednesday.