The euro approached the strongest level this year against the dollar on speculation European Central Bank council member Axel Weber will reiterate today that policy makers should refrain from further interest-rate cuts. Futures traders increased their bets to the most in 10 months that the euro will gain against the dollar, figures from the Washington-based Commodity Futures Trading Commission showed on May 22.
The yen weakened against the euro and the dollar after Yonhap News said North Korea launched a short-range missile, posing a threat to the region's security. North Korea’s official state media earlier said it also "successfully" tested a nuclear weapon underground.
The yen weakened to 133.38 per euro as of 3:05 p.m. in Tokyo from 132.67 in New York last week, after earlier rising as high as 132.07. Japan’s currency fell to 95.11 per dollar from 94.78. The dollar traded at $1.4004 per euro from $1.3998.
Due to bank holiday in the US and the UK, trading volume may be lower today.
