Investing.com - The dollar was lower against the yen on Tuesday after data showed that third quarter growth in China slightly exceeded expectations, but the world’s second largest economy still expanded at its slowest pace in five years.
USD/JPY was down 0.63% to 106.26 from 106.93 late Monday.
China’s economy grew at an annual rate of 7.3% in the three months to September, official data on Tuesday showed, slightly higher than the 7.2% forecast by economists, but slowing from 7.5% in the second quarter.
It was the slowest rate of growth since the first quarter of 2009, in the midst of the global financial crisis.
The slowdown fuelled fears that China will miss its annual growth target of 7.5% and added to speculation that the government will need to roll out fresh stimulus measures to avert a sharper slowdown.
The weak data also added to concerns that weaker global growth could act as a drag on the U.S. economy, dampening dollar demand.
The dollar was lower against the euro, with EUR/USD rising 0.23% to 1.2829.
Elsewhere, the single currency was lower against the yen, with EUR/JPY down 0.33% to 136.45.
The US dollar index, which tracks the performance of the greenback against a basket of six major currencies, was down 0.24% to 84.84, not far from last week’s three week lows of 84.53.