The dollar hit an intraday low of 105.70 yen Friday in Tokyo, its lowest level in global trade since September 2000, as traders sold the dollar for the yen after witnessing the euro's sharp decline against the Japanese currency.

As of 5 p.m., the dollar was quoted at 105 yen.95-98, down from 106 yen.30-40 in New York and 106 yen.20-23 in Tokyo at 5 p.m. Thursday.

The dollar, which hovered just above the 106 yen line earlier Friday in Tokyo, lost this line shortly after 4 p.m.

It quickly rose back into the 106 yen level on suspected dollar-buying, yen-selling intervention by the Bank of Japan.

This buying lacked momentum, however, with the dollar falling below 106 yen again.

On Friday in Tokyo, the U.S. currency moved between 105.70 yen and 106.41 yen, trading most actively at 106.10 yen.

The euro slipped against the yen on late selling by speculative traders, which subsequently caused a dent in the dollar-yen rate.

The euro was quoted at $1.2541-2544 and 132 yen.90-94 at 5 p.m., compared with $1.2575-2585 and 133 yen.70-80 at 5 p.m. Thursday in New York.

"The dollar's fall into the 105 yen level is a direct consequence of the euro's dive against the yen," said Yasushi Ishikawa, financial engineering team manager at Credit Lyonnais.

The dollar's immediate spike after the dip was widely seen to be a result of dollar purchases by the BOJ, which intervenes in currency markets under instructions from the Finance Ministry.