Dollar slides on lower manufacturing data; traders look to payrolls
The dollar fell on Tuesday, following a surprise slowdown in U.S. manufacturing growth that prompted traders to trim bets on a stronger U.S. economy lifting the dollar.
With Asia trade muted, the dollar rose from overnight levels to sit at 109.14 against the yen and at $1.2054 per euro.
The euro climbed 0.3% overnight, boosted by a surge in German retail sales and a record-high eurozone factory activity.
The Aussie and the kiwi fell on Tuesday after recovering overnight, while the dollar index climbed 0.05% to 91.036.
The Aussie fell 0.1% in early morning trade at $0.7756, while the kiwi slid to $0.7194.
The pound rose to a near one-week high against the euro and surpassed its 20-day moving average overnight. It sat at 1.3905 against the dollar.