Investing.com - The yen gained slightly in Asia on Tuesday after mixed data on retail sales and household spending with investors watchinga series of major finance houses including MOrgan Stanley and JPMorgan (NYSE:JPM) Cazenove upping equity bets on expectations of a weaker yen as the Fed looks set to raise rates next month.
USD/JPY changed hands at 111.90, down 0.04%, while AUD/USD traded at 0.7493, up 0.16%.
In Japan, household spending for October fell 1.0% month-on-month, compared to a 0.1% gain seen, and at a minus 0.4% pace year-on-year, compared to a 0.6% fall expected for the eighth straight drop. Unemployment for October clocked in at 3.0% as seen, while retail sales rose 0.1%, compared to a 1.2% fall seen year-on-year.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was last quoted down 0.27% to 101.21.
Overnight, the dollar was little changed against the other majors currencies on Monday, as overall confidence in the U.S. economy continued to lend some support to the greenback, while trading was expected to remain quiet with no major U.S. data expected throughout the day.
The greenback has been broadly supported in recent weeks amid expectations that increased fiscal spending and tax cuts under the Trump administration will spur economic growth and inflation.
The euro remains in focus ahead of an upcoming referendum in Italy. On December 4, Italian citizens are set to vote in a referendum on whether to overhaul their national constitution, which should help Prime Minister Matteo Renzi implement badly needed economic reforms.
The vote is widely seen as determining Renzi's political fate seeing as he may resign if a "no" vote prevails. The latest opinion polls show most Italians opposing the proposed constitutional changes.