The dollar notched a fresh 17-month low against the yen. In addition to a stronger currency, data released early on Monday showed Japan’s core machinery orders fell 9.2 percent in February from the previous month, in a sign that business investment remains subdued.

Data out on Monday showed China’s consumer price inflation was less than expected in March, while wholesale prices declined less than anticipated, in a sign that deflationary pressure in the industrial sector may be easing. While the figures pointed to stabilizing prices, they also underscored that the central bank’s prolonged easing campaign begun in late 2014 has yet to result in substantial price increases.

The greenback’s recent slide against the yen prompted a chorus of warnings from officials in Tokyo and put investors on alert for direct yen-selling intervention, though many believed Japan would stay its invention hand.

Japan’s top government spokesman, Chief Cabinet Secretary Yoshihide Suga, said on Monday that recent currency moves were one-sided and speculative and that the government would take steps as needed.

The dollar wallowed close to lows notched last week, as investors mulled the outlook for U.S. monetary policy, with the Federal Reserve seen as being more cautious on hiking interest rates than some investors had believed.


EUR/USD: during the Asian session the pair traded in the range of $1.1395-25

GBP/USD: during the Asian session the pair traded in the range of $1.4105-45

USD/JPY: during the Asian session the pair fell to Y107.65


Based on Reuters materials

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