The dollar
started the week on the defensive on Monday after U.S. economic data
came in shy of expectations and another missile test by North Korea at
the weekend underpinned the perceived safe-haven yen.
The dollar index, which tracks the greenback against a basket of six major peers, was 0.1 percent lower on the day at 99.152. The dollar slipped slightly to 113.34 Japanese yen.
The North fired a ballistic missile that landed in the sea near Russia on Sunday in a launch that Washington called a message to South Korea, days after its new president took office pledging to engage Pyongyang in dialogue.
U.S. data on Friday showed a smaller-than-expected 0.4 percent increase in April retail sales from March, while a disappointing consumer prices report raised concerns for the retail sector and the broader economy.
The Federal Reserve is widely expected to raise interest rates at that meeting and has forecast two more hikes this year following its a quarter point increase in March.
North Korea remained a major concern for investors ahead of the Fed meeting, said Kumiko Ishikawa, FX market analyst at Sony Financial Holdings in Tokyo.
Net dollar long positions fell in the week ended May 9 to their lowest since early October, according to calculations by Reuters and U.S. Commodity Futures Trading Commission data released on Friday.
In that week, the euro marked its first net long positioning since early May 2014, as investors breathed a collective sigh of relief following pro-European Emmanuel Macron's victory over anti-EU candidate Marine Le Pen in the second round of France's presidential election on May 7.
The Aussie was up 0.2 percent at $0.7396, also getting a lift from firmer commodities prices. Oil prices jumped on Monday after the energy ministers of top producers Saudi Arabia and Russia jointly said that an OPEC-led crude production cut would be extended from the middle of this year until March 2018.
The North fired a ballistic missile that landed in the sea near Russia on Sunday in a launch that Washington called a message to South Korea, days after its new president took office pledging to engage Pyongyang in dialogue.
U.S. data on Friday showed a smaller-than-expected 0.4 percent increase in April retail sales from March, while a disappointing consumer prices report raised concerns for the retail sector and the broader economy.
The Federal Reserve is widely expected to raise interest rates at that meeting and has forecast two more hikes this year following its a quarter point increase in March.
North Korea remained a major concern for investors ahead of the Fed meeting, said Kumiko Ishikawa, FX market analyst at Sony Financial Holdings in Tokyo.
Net dollar long positions fell in the week ended May 9 to their lowest since early October, according to calculations by Reuters and U.S. Commodity Futures Trading Commission data released on Friday.
In that week, the euro marked its first net long positioning since early May 2014, as investors breathed a collective sigh of relief following pro-European Emmanuel Macron's victory over anti-EU candidate Marine Le Pen in the second round of France's presidential election on May 7.
The Aussie was up 0.2 percent at $0.7396, also getting a lift from firmer commodities prices. Oil prices jumped on Monday after the energy ministers of top producers Saudi Arabia and Russia jointly said that an OPEC-led crude production cut would be extended from the middle of this year until March 2018.
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