* Yen at near-one-month highs versus dollar, euro
* Dollar at one-month low versus Aussie
* Canadian dollar falls again after jobs data
By Laurence Fletcher
LONDON, Jan 13 The dollar tumbled to its lowest
in almost a month against the yen on Monday, as investors caught
out by Friday's soft U.S. jobs data reassessed how quickly the
Federal Reserve might scale back its stimulus.
The dollar slid 0.8 percent to 103.30 yen, having fallen to
103.26 at one point, its lowest level since Dec. 18. The
greenback's losses accelerated after it breached Friday's
intraday low of 103.83 yen.
Dollar/yen was the strongest-performing major currency pair
last year and many hedge funds have been betting the trend will
continue as the Fed cuts back its huge bond-buying programme and
on expectations the Bank of Japan will provide even more
stimulus this year.
But many traders were taken by surprise by the U.S. non-farm
payrolls data, which showed a rise of 74,000, well short of the
196,000 analysts had expected.
Yields on 10-year U.S. Treasuries, which were
above 3 percent in the middle of last week, have fallen to just
above 2.85 percent, their lowest since mid-December, lending
less support to the dollar.
The implied yields on Fed funds futures also tumbled
as markets pushed back the timing of the first interest rate
hike out towards late-2015 from mid-2015.
Investors were also looking for direction with Japanese
financial markets closed on Monday for a public holiday.
"The market is taking its leads from U.S. Treasury markets,
which are generally weighing on the dollar across the board,"
said Adam Cole, global head of FX strategy at RBC Capital
"One of the strongest consensus views was that the dollar
would outperform. Markets didn't have a (jobs) number like that
on the radar at all."
He said he expects the dollar to soften against the yen this
"With Tokyo players away today, the sense I get is that the
market may be hunting for any stops left by people in Tokyo,"
said a trader for a Japanese bank in Singapore, referring to
stop-loss dollar offers.
The yen also pushed higher versus the euro, which fell 0.7
percent to 141.26 yen. The euro touched a low of
141.24 yen, its lowest level in nearly a month.
The euro was up marginally against the dollar at $1.3672
, staying above a one-month trough of $1.3548 hit on
Volumes were higher in the Australian dollar, which hit a
one-month high of $0.9047 and was last at $0.9039, up
The Aussie has weakened against the U.S. dollar in recent
months after comments by central bank governor Glenn Stevens
that he would prefer to see the local dollar lower as a boost to
trade-exposed sectors of the economy.
The Canadian dollar headed back towards its lowest in more
than four years against the greenback after data showed the
country unexpectedly shed jobs last month.
The loonie, which fell in every session last week against
its U.S. peer, last stood at C$1.0904 per dollar. The
U.S. dollar had scaled a peak of C$1.0946 on Friday, the
greenback's strongest level since October 2009.