Investing.com - The Aussie gained after the release of May meeting minutes that highlighted labor costs as a key factor in cutting the cash rate.
AUD/USD traded at 0.7322, down 0.59%, while USD/JPY changed hands at 109.00, down 0.02%.
The Reserve Bank of Australia released the minutes of its May policy meeting in which it lowered the cash rate 25 basis points to 1.75%, highlighting labor costs adn China as factors.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, eased 0.05% to 94.48.
Overnight, the dollar remained broadly lower against the other major currencies in subdued trade on Monday, after data showed that manufacturing conditions in the New York region contracted for the first time in three months in May, as new orders and shipments turned negative.
The Federal Reserve Bank of New York said that its general business conditions index fell to -9.0 this month from 9.6 in April. Analysts had expected the index to decline to 6.5.
The safe-haven yen strengthened earlier, after official data showed that China’s factory output slowed to 6% in April, against expectations of 6.5%. Investment and retail sales also grew more slowly than expected last month, adding to concerns over a slowdown in the world's second-largest economy.
In Japan, government spokesman Yoshihide Suga on Monday denied weekend media reports that Prime Minister Shinzo Abe has decided to delay a sales tax hike scheduled for next year.