By Alun John
HONG KONG, June 6 (Reuters) – The Japanese yen was on the back foot on Monday, ahead of a busy policy-focused week in which inflation will be in the spotlight with a major European Central Bank meeting and U.S. consumer price data scheduled.
The dollar climbed to 130.99 yen in early trade, a fresh one-month high, and not far from last month’s 20-year peak of 131.34, after gaining 2.95% last week.
The euro has also climbed on the Japanese currency and hit 140.38 yen on Monday morning, extending a seven-year high hit last week.
Barclays analysts attributed last week’s softer yen to a recovery in risk assets, a rise in overseas yields, a stronger dollar and higher oil prices causing concerns about Japan’s balance of trade.
The dollar index, which measures the greenback against six major peers, was at 102.1 after gaining 0.47% last week after good jobs and manufacturing data.
Top of the agenda for many traders this week is…
