"Investors need to see if he can carry out all of his original ideas, compromise, and get organised," said Kaneo Ogino, director at foreign exchange research firm Global-info Co in Tokyo. "There are still Japanese institutional investors who want to buy the dollar on dips, but for now, they're standing back to see what happens next," he added.The dollar skidded 0.5 per cent to one-week lows against its perceived safe-haven Japanese counterpart and last stood at 112.56 yen. "The political shenanigans in Washington concerning Trump appear to be denting appetite for the US dollar at the moment, but it's run into technical selling as well," said Sue Trinh, head of Asia FX strategy at Royal Bank of Canada in Hong Kong. "The move in FX looks to be exaggerated by the addition of the systematic selling of the US dollar by technical trading accounts," she said.US Treasury yields fell after data showing US homebuilding unexpectedly dropped last month, adding to a recent spate of mixed data that has raised doubts about the US monetary policy outlook. Separate data showed US manufacturing production recorded its biggest increase in more than three years in April.The yield on benchmark 10-year notes fell to a two-week low of 2.291 per cent in early Asian trade, down from its US close on Tuesday of 2.327 per cent.

Source: Economic Times May 17, 2017 05:03 UTC