The safe haven yen slumped on Tuesday as optimism that the U.S. and China could begin talks on trade helped ease fears about a global trade war, reviving require for riskier assets.
The greenback gained 0.2 percent to 105.62 yen. The dollar has recovered after touching a 16-month trough of 104.56 yen in the previous session.
The euro inched up 0.1 percent to $1.2454, not far from Monday’s peak of $1.24615, which was the single currency’s highest level since mid-February.
The dollar’s index was firm at 89.042, fluctuating near Monday’s five-week nadir of 88.979.
The won soared 1 percent to 1.070.15 a dollar.