The dollar was mixed in Asian trading on Monday as it faced pressure from data that showed US consumer spending was down in April although shoppers’ confidence climbed.
The greenback gained on the yen as Tokyo’s Nikkei 225 stock index pared back some of its early losses. The index is closely linked with the yen as the currency’s value affects the profitability of Japanese exporters.
Credit Agricole said dollar strength was likely to continue. “We expect USD/JPY downside to be increasingly limited and stick to the view that the pair will ultimately resume its uptrend,” it said.
In Tokyo morning trade, the dollar bought 100.67 yen, gaining from 100.37 yen in New York late Friday, while the euro was also stronger against the Japanese currency at 130.89 yen from 130.44 yen last week.
Against the dollar, the European single currency was slightly stronger at $1.3004, from $1.2996 in US trading.
