US dollar slid to lower levels versus Japanese yen

On Monday US dollar registered a slide versus the yen on Japanese shares drop, which was contributed by weaker than projected PMI data from China.

USD/JPY pair dropped to 100.14 during the late hours of Asian session, currently lowest for Monday trade, after which consolidation followed at 100.30. Support was expected at psychological 100.00 level, while the pair was to meet resistance at Fridays high, 101.27.

Earlier today it was reported that China’s HSBC Manufacturing Purchasing Managers’ Index (PMI) decreased to 49.2 in May, lowest level since October 2012, while the reading during April was 49.6. The report came two days after Chinese data indicated that Manufacturing Purchasing Managers’ Index rose to 50.8 during May from a reading of 50.6 during April.

US dollar was supported by expectations that FED would reduce scale of its bond purchasing program later this year.