The dollar hit a 5- month high against the yen on Monday as investors dumped the Japanese currency after it failed to hold on to gains following the BOJ tankan survey, which showed confidence at big manufacturers hitting a two-year high.

The yen slid even as the rise in the headline tankan index kept the Bank of Japan on track to raise interest rates again before the end of the first-quarter next year, driving Japanese government bond yields higher.

The dollar climbed to 118.36 yen on electronic trading platform EBS, its strongest since mid-April and up slightly from near 118.15 in late New York trade on Friday.

The euro rose to 149.90 yen, taking aim at its all-time high of 150.73 hit in late August.