By Hiroyuki Kachi

The dollar was lower against the yen during Asian trade on Monday, as investors locked in profits following the Federal Reserve's policy meeting last week.

Around 0450 GMT, the U.S. currency was trading at 117.37 yen after hitting an intraday low of Y117.24. That compared with Y117.90 late Friday in New York.

The WSJ Dollar Index, a measure of the U.S. dollar against a basket of major currencies, was down 0.1% at 92.94. The euro was slightly higher at $1.0456 from $1.0455 late Friday.

The dollar shot up last week to touch Y118.66--a 17% gain since the U.S. presidential election--after the Federal Reserve signaled it may raise interest rates three times next year instead of twice as previously expected.

But with holiday-thinned trade making the market prone to strong gyrations, investors opted to take profit ahead of the Christmas holidays.

"We don't see fresh trading cues," said Kengo Suzuki, chief foreign-exchange strategist at Mizuho Securities. "What we are seeing is profit-taking or adjustment ahead of Christmas and the year-end holiday season," Mr. Suzuki said.

Still, investors are awaiting a scheduled speech by Fed Chairwoman Janet Yellen later in the U.S. day.

Nomura chief forex strategist Yunosuke Ikeda said in a morning note that this may be the last big event this year, adding that if Ms. Yellen hints she was among those expecting to raise interest rates three times next year, "we would see higher yields and a stronger dollar once again."

Meanwhile, the Bank of Japan is widely expected to stand pat when it wraps up its two-day policy meeting Tuesday. Investors will be looking to see whether the central bank will comment on the recent rise in long-term Japanese government bond yields.

The BOJ, which has sought to anchor the 10-year JGB yield at zero, last week moved to arrest rising yields on superlong JGBs by raising its bond purchases.

In other currency trading, the euro weakened to Y122.74 midday from Y123.28.

Interbank Foreign Exchange Rates At 23:50 EST / 0450 GMT

Latest Previous %Chg Daily Daily %Chg

Dollar Rates Close High Low 12/31

USD/JPY Japan 117.36-37 117.92-93 -0.48 117.92 117.25 -2.44

EUR/USD Euro 1.0457-60 1.0449-52 +0.08 1.0471 1.0443 -3.70

GBP/USD U.K. 1.2474-76 1.2484-86 -0.08 1.2503 1.2467 -15.34

USD/CHF Switzerland 1.0254-58 1.0263-67 -0.09 1.0273 1.0247 +2.36

USD/CAD Canada 1.3339-441.3335-40 +0.03 1.3348 1.3318 -3.59

AUD/USD Australia 0.7289-93 0.7301-05 -0.16 0.7314 0.7285 +0.05

NZD/USD New Zealand 0.6976-82 0.6958-64 +0.26 0.6990 0.6960 +2.14

Euro Rate

EUR/JPY Japan 122.72-76 123.20-24 -0.39 123.22 122.63 -6.15

Source: Tullett Prebon

Write to Hiroyuki Kachi at

(END) Dow Jones Newswires

December 19, 2016 00:47 ET (05:47 GMT)

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