The dollar held steady against the yen on Monday, having retreated from 12-week highs set last week, due to concerns that North Korea may be preparing another missile test.
North Korea is preparing to test a long-range missile, which it believes can reach the west coast of the United States, a Russian lawmaker said on Friday.
The renewed focus on geopolitical tensions helped lend support to the safe haven yen, and helped pull the dollar down from its post-US jobs data highs, reports Reuters.
On Friday, the dollar was already in retreat due to profit-taking. It last traded at 112.56 yen, steady on the day. On Friday, the dollar had reached a peak of 113.44 yen, its highest level since July 14.
The dollar index, which measures the greenback against a basket of six major currencies, eased 0.1 per cent to 93.709. On Friday, it had scaled a high of 94.267, its strongest in more than two months.
The US dollar surged 3.2 per cent against the Turkish lira to 3.7325. That put the lira on track for its worst daily performance since July 2016.
The New Zealand dollar touched a four-month low after a final vote count in the country’s tight general election released over the weekend failed to identify a clear winner.
The New Zealand dollar slipped to as low as $0.7052, its lowest level since May 30. The kiwi was last trading at $0.7075, down 0.2 per cent on the day.
The euro edged up 0.1 per cent to $1.1745, having pulled up from Friday’s low of $1.1669, its lowest level since Aug. 17.
