Investing.com - The dollar fell to one-month lows against the yen on Monday after far weaker than expected U.S. jobs data prompted investors to reassess expectations on the timing of further reductions to the Federal Reserve's stimulus program.
USD/JPY hit lows of 103.26, the weakest level since December 18 and was last down 0.72% to 103.41.
The pair was likely to find support at 102.63 and resistance at 104.12, the session high.
The drop in the dollar came after Friday's nonfarm payrolls report showed that the U.S. economy added 74,000 jobs in December, the smallest increase since January 2011 and well below expectations for 196,000 new jobs.
The unemployment rate fell to a five year low of 6.7% from 7% in November, but this was due in part to people dropping out of the labor force.
The surprisingly weak data tempered expectations that the Fed would cut its stimulus program again this month. The Fed cited a stronger labor market in its decision to cut its asset purchase program by USD10 billion in December, reducing it to USD75 billion-a-month.
The euro was little changed at one-week highs against the dollar, with EUR/USD inching up 0.03% to 1.3672.
Elsewhere, the euro fell to three-week lows against the stronger yen, with EUR/USD last down 0.67% to 141.43.
