Investing.com - The yen slid lower against the dollar and the euro on Tuesday as investors positioned ahead of a series of key economic indicators later in the week.
USD/JPY was up 0.12% to a three-week high of 101.98, from 101.84 late Monday.
The pair was likely to find support at 101.50 and resistance at 102.25.
Demand for the dollar continued to be underpinned ahead of the latest U.S. employment report later in the week and the upcoming Federal Reserve statement on Wednesday.
Investors were also awaiting preliminary data on U.S. second-quarter growth, due on Wednesday.
Earlier this month Fed Chair Janet Yellen said that rates could rise sooner if the recovery in the labor market continued.
The euro was hovering close to eight month lows against the dollar, with EUR/USD at 1.3432, not far from Friday’s trough of 1.3420.
The euro remained under heavy selling pressure amid concerns over the divergence in monetary policy between the European Central Bank and its major peers.
The euro zone was to release what would be closely watched data on consumer prices on Thursday, amid concerns over persistently low levels of inflation in the currency bloc.
The euro edged higher against the yen, with EUR/JPY easing up 0.07% to 136.96, holding above Thursday’s five month lows of 136.35.
The US Dollar Index, which tracks the performance of the greenback versus a basket of six other major currencies, edged up 0.05% to 81.15, not far from Friday’s six month highs of 81.20.