Investing.com

Invesing.com - The dollar was steady close to two-week highs against the yen on Monday, as hopes that China will implement measures to shore up growth continued to underpin risk appetite.



USD/JPY was trading at 102.85, just below Friday’s peaks of 102.97.



The pair was likely to find support at 102.02, Friday’s low and resistance at 103.25.



Market sentiment received a boost after Chinese premier Li Keqiang said Friday the country has policies in place to support economic growth. The remarks eased concerns over recent signs of a slowdown in the world’s second-largest economy.



Data on Friday showing that U.S. consumer spending rose 0.3% last month after a downwardly revised gain of 0.2% in January also supported the dollar.



The euro was almost unchanged against the dollar ahead of euro zone data on inflation later in the trading day, with EUR/USD trading at 1.3754, not far from a one-month trough of 1.3704 struck on Friday.



The single currency remained under pressure after European Central Bank officials last week highlighted growing concerns over the threat of deflation in the region.



Data on Friday showing that the annual rate of inflation in Spain declined 0.2% in March fuelled concerns that deflation could threaten the economic recovery in the euro area. A separate report showed that the annual rate of inflation in Germany slowed in March.



Elsewhere, EUR/JPY was unchanged at 141.40, after recovering from a one-month low of 139.95 on Friday.



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