Investing.com - The U.S. dollar was trading close to a one-week low against the yen on Monday, after easing measures by the Bank of Japan underwhelmed investors, while market sentiment found some support after the initial damage caused Hurricane Sandy appeared to have been less severe than some had feared.
During European morning trade, USD/JPY was down 0.43% to 79.45 after fresh easing steps by the BoJ disappointed market expectations for more aggressive measures.
The BoJ increased the size of its asset purchase program by JPY11 trillion at Tuesday’s policy meeting, amid concerns over the deteriorating economic outlook and growing political pressure to step up measures to combat deflation.
The dollar was also lower against the euro, with EUR/USD rising 0.38% to 1.2953.
The euro rose to session highs after Italy saw borrowing costs fall to the lowest level since May 2011 at an auction of five- and ten-year government bonds.
Elsewhere, concerns over the economic outlook for the euro zone intensified after official data showed that the number of German unemployed rose by 20,000 in October, compared to expectations for an increase of 10,000.
The unemployment rate ticked up to 6.9%, matching September’s rate, which was revised up from 6.8%.
Another report showed that the Spanish economy contracted by 0.3% in the third quarter, compared to expectations for a 0.4% contraction, extending the recession into a fourth quarter.
The data came one day after Spanish Prime Minister Mariano Rajoy said he would request a bailout "when I think it is in the interests of Spain".
The greenback was lower against the pound, with GBP/USD easing up 0.17% to 1.6060, but slid lower against the Swiss franc, with USD/CHF down 0.39% to 0.9328.
The greenback was broadly lower against its Canadian, Australian and New Zealand counterparts, with USD/CAD dipping 0.06% to 1.0004, AUD/USD rising 0.43% to 1.0375 and NZD/USD up 0.38% to 0.8222.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.34% to 80.06.
Trade volumes looked set to remain light on Tuesday, with markets in the U.S set to remain closed for a second day as a result of Hurricane Sandy.
During European morning trade, USD/JPY was down 0.43% to 79.45 after fresh easing steps by the BoJ disappointed market expectations for more aggressive measures.
The BoJ increased the size of its asset purchase program by JPY11 trillion at Tuesday’s policy meeting, amid concerns over the deteriorating economic outlook and growing political pressure to step up measures to combat deflation.
The dollar was also lower against the euro, with EUR/USD rising 0.38% to 1.2953.
The euro rose to session highs after Italy saw borrowing costs fall to the lowest level since May 2011 at an auction of five- and ten-year government bonds.
Elsewhere, concerns over the economic outlook for the euro zone intensified after official data showed that the number of German unemployed rose by 20,000 in October, compared to expectations for an increase of 10,000.
The unemployment rate ticked up to 6.9%, matching September’s rate, which was revised up from 6.8%.
Another report showed that the Spanish economy contracted by 0.3% in the third quarter, compared to expectations for a 0.4% contraction, extending the recession into a fourth quarter.
The data came one day after Spanish Prime Minister Mariano Rajoy said he would request a bailout "when I think it is in the interests of Spain".
The greenback was lower against the pound, with GBP/USD easing up 0.17% to 1.6060, but slid lower against the Swiss franc, with USD/CHF down 0.39% to 0.9328.
The greenback was broadly lower against its Canadian, Australian and New Zealand counterparts, with USD/CAD dipping 0.06% to 1.0004, AUD/USD rising 0.43% to 1.0375 and NZD/USD up 0.38% to 0.8222.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.34% to 80.06.
Trade volumes looked set to remain light on Tuesday, with markets in the U.S set to remain closed for a second day as a result of Hurricane Sandy.