Dollar slips lower vs. yen

The dollar gave up gains against the yen on Tuesday, pulling back from two-week highs struck in the previous session, following a larger-than-forecast increase in Japan’s trade deficit.

USD/JPY was last down 0.17% to 102.45, coming off Monday’s highs of 102.73, the strongest level since April 8.

The pair was likely to find support at 102.00 and resistance at 102.73.

The yen weakened on Monday after data showed that Japan’s trade deficit widened to ¥1.45 trillion in March, the largest ever for the month and much larger than the forecast for a deficit of ¥1.27 trillion.

The weak data added to pressure on the Bank of Japan to step up stimulus measures.

Trade remained subdued as global financial centers returned from the long Easter weekend.

The euro was also lower against the yen, with EUR/JPY down 0.21% to 141.25 from highs of 141.81 on Monday.

Elsewhere, the euro was little changed against the dollar, with EUR/USD dipping 0.04% to 1.3787.