FOREX-Dollar stays firm vs yen in wake of US jobs, wages data

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* Dollar stays firm vs yen in wake of Friday's US jobs data

* Data showed strong US jobs increase but slower wage growth

* Dollar/yen likely to stay in 105 to 108 yen range -analyst

SINGAPORE, March 12 (Reuters) - The dollar held firm againstthe yen on Monday after gaining late last week on news ofhigher-than-expected U.S. jobs growth in February.

The strong U.S. jobs growth data was counterbalanced byslower increases in wages, resulting in money market traderssticking to bets that the Fed would raise interest rates threetimes this year, with only around a one-in-four chance seen fora fourth rate hike in 2018. urn:newsml:reuters.com:*:nS0N1NQ00W

Analysts said the U.S. jobs data stopped short of adding to market concerns about a pick-up in inflation, limiting theoverall impact on the dollar.

The dollar held steady at 106.80 yenJPY= after havingrisen 0.5 percent on Friday to pull further away from a 16-monthlow of 105.24 yen set on March 2.

Earlier on Monday, the dollar had risen to 106.97 yen,nearing Friday's high of 107.05 yen, its highest level againstthe yen in more than a week.

While downside pressure on the dollar against the yen hasshown signs of abating as investor risk aversion has easedrecently, any dollar gains would probably be limited for now,said Shinichiro Kadota, senior FX strategist for Barclays inTokyo.

"Over the past several weeks the dollar has been trading ina range of around 105 yen to 108 yen. In the near term, it seemsunlikely that there will be a break out of this range in eitherdirection," he said.

Reasons to buy the dollar appear limited for now, givenfactors such as lingering uncertainty over U.S. trade policy,Kadota added.

The dollar had risen 1 percent against the yen last week,its largest weekly percentage gain in five weeks, as riskappetite improved on hopes for a breakthrough in the standoffover North Korea's nuclear weapons programme.

The greenback also gained ground against the yen last week as fears of a global trade war receded.

U.S President Donald Trump imposed import tariffs on steeland aluminium, while softening his stance by announcingexemptions for Canada and Mexico, and leaving open the chancefor other countries to obtain their own. urn:newsml:reuters.com:*:nL4N1QQ1M8

Comments on Friday by Bank of Japan Governor Haruhiko Kurodaalso helped to weigh on the yen. Kuroda sounded optimistic ongrowth, yet stressed there was no plan to change monetary policybefore the central bank reached its 2 percent inflation target. L4N1QR2HY

The euro held steady at $1.2309EUR= , holding below a nearthree-week high of $1.2447 set on Wednesday.

The common currency has retreated after EuropeanCentral Bank President Mario Draghi said on Thursday thatregional inflation remained subdued and rising protectionism wasa risk. urn:newsml:reuters.com:*:nL5N1QP5OP (Reporting by Masayuki KitanoEditing by Eric Meijer) ((masayuki.kitano@thomsonreuters.com; +65-6417-4682; ReutersMessaging: masayuki.kitano.thomsonreuters.com@reuters.net))

Referenced Symbols: EUR

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