Dollar steady, yen gains as equity rout spurs haven demand

The dollar held steady against major currencies on Friday as a sharp selloff in US equities drove investors toward haven assets like the yen and pushed Treasury yields lower ahead of a key payrolls report. A Democratic sweep in Congress triggered the risk retreat, hammering US stocks on Thursday, with the Nasdaq posting its deepest one-day drop since April 2025. Fears of tighter scrutiny of the artificial intelligence industry, especially data centre construction, roiled global markets this week. The yen strengthened 0.2% to a one-week high of 157.40 per dollar before paring gains, while the Swiss franc firmed 0.2%. The 10-year Treasury yield fell to 4.84%, near its lowest since September 10, and fed funds futures scaled back December rate hike odds to around 70%.