* U.S. data point to moderate economic growth, tighter jobs
market
* Onshore yuan hits 6-month high on upbeat China data
* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E
By Tomo Uetake and Hideyuki Sano
TOKYO, Jan 17 (Reuters) - The dollar scaled an eight-month
high against the yen on Friday after upbeat U.S. retail sales
and jobs data, while the yuan got a lift after China's economic
data brightened the mood already cheered by a Sino-U.S. trade
deal.
The dollar rose to as high as 110.305 yen JPY= , its
strongest since late May in 2019, extending its rally from
107.65, a three-month low touched on Wednesday last week.
U.S. retail sales increased for a third straight month in
December and the number of Americans filing claims for
unemployment benefits dropped for a fifth straight week last
week, indicating the labour market remained strong.
Other data showed a gauge of manufacturing activity in the
U.S. Mid-Atlantic region rebounded in January to its highest in
eight months, leading the Federal Reserve Bank of Philadelphia
to call the factory outlook the brightest in more than 18
months. "A lift in U.S. Treasury yields, a firmer U.S. dollar and
record highs in many global equity markets have encouraged the
dollar/yen higher," said Richard Grace, chief currency
strategist at the Commonwealth Bank of Australia (CBA) in
Sydney.
The dollar index, which tracks the greenback's strength
against a basket of six major currencies, was little changed at
97.322 =USD , as other major currencies barely moved.
The euro stood flat at $1.1133 EUR= while the British
pound was also little changed at $1.3035.
The Chinese yuan edged up, hitting a six-month high of
6.8660 to the dollar in onshore trade CNY=CFXS , after a batch
of Chinese economic data pointed to some stabilisation in the
world's second-largest economy.
Industrial output and fixed asset investment for December
beat market expectations while the country's fourth quarter GDP
growth came in at 6.0% from a year earlier, in line with market
expectations. "There were rebounds in some areas, such as fixed income
investments and industrial output, which is in line with other
signs that China's deceleration is coming to an end," said
Masashi Hashimoto, senior currency analyst at MUFG Bank in
Tokyo.
"Markets seem to be reacting more positively than we have
estimated to the deal, as China and the U.S. at least appear to
have stopped slapping tariffs on each other even though whether
they can reach a Phase 2 deal is unclear. We might consider
revising up our yuan forecast a bit," he said.
The Australian dollar, often used as a proxy bet on the
Chinese economy, was little changed at $0.6893 AUD=D4 .
The currency has been dogged by concerns over fallout from
widespread bushfires that have increased expectations of a rate
cut by the country's central bank as soon as next month.