Yen extends gains, pushes euro down 1 pct on day

LONDON | Mon Aug 30, 2010 6:58am EDT

LONDON Aug 30 (Reuters) - The yen extended gains on Monday, pushing the euro down one percent on the day as Japanese authorities failed to signal aggressive measures to curb yen strength.

The euro fell to a session low of 107.50 yen EURJPY=R, according to Reuters data, while the dollar also lost around 0.6 percent to hit a low for the day of 84.62 yen JPY=.

At an emergency meeting the Bank of Japan chose only to expand a fixed-rate fund supply scheme, a move investors saw as a symbolic gesture that will do little to halt a climb in the currency. [ID:nTKZ006513]

Speaking after a meeting with Prime Minister Naoto Kan, BOJ Governor Masaaki Shirakawa also said the nation's leader had not made any specific requests before the central bank's decision to ease policy earlier in the day. [ID:nTKV006406].

Traders said they took the latest comments as a green light to continue buying the Japanese currency.

(Reporting by London Forex team)

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