The yen gained slightly and the yuan slipped a tad in early Asian trade on Monday on a media report that China wants the scope of this week's trade talks and any deal with the United States to be narrow.
Bloomberg reported that Chinese officials are signaling they are increasingly reluctant to agree to a broad trade deal pursued by U.S. President Donald Trump.
That report knocked down the dollar against the yen during thin early Monday trade to as low as 106.55 yen .
The U.S. currency has so far found some support around a one-month low of 106.48 touched last week.
It last traded at 106.82 yen , down 0.11% from late Friday U.S. levels.
The yuan weakened about 0.20% in offshore trade to 7.1285 yuan per dollar . There was no onshore trading as Monday is the last day of China's holiday break for its national day.
As the dollar has lost momentum, the euro stood at $1.0982 (EUR=), up 0.02% in Asia, recovering little by little after having hit a near 2 1/2-year low of $1.0879 last Tuesday.
Sterling traded little changed at $1.2336 , with uncertainties on Brexit keeping many investors on the sideline.