The US dollar pared its Monday's early Asian session gains against the currencies of Europe, UK and Switzerland. On the other hand, the dollar bounced back against the Japanese yen.

Against the European currency, the US dollar lost ground after hitting a high of 1.3128 during early Asian deals on Monday. At 12:25 pm ET, the dollar slipped to 1.3178 against the euro, compared to 1.3170 hit late New York Thursday. The next downside target level for the greenback is seen around 1.373.

The US dollar that closed Thursday's North American session at 1.4662 against the British pound reached a new multi-day high of 1.4608 at 8:15 pm ET. Thereafter, the dollar reversed its direction and is currently trading at 1.4661 versus the pound with 1.498 seen as the next target level.

Against the Swiss franc, the US currency edged down to 1.1561 at 12:25 am ET Monday, moving down from an early Asian session high of 1.1610. If the pair falls further, 1.117 is seen as the next target level. The dollar-franc pair closed Thursday's New York deals at 1.1563.

The US dollar that dropped to 100.25 against the Japanese yen during Monday's early Asian deals strengthened thereafter. At 9:45 pm ET, the dollar-yen pair hit a high of 100.52, compared to Thursday's closing value of 100.43. On the upside, 102.2 is seen as the next target level. The pair is currently trading at 100.44.

Last week, the Japanese government unveiled a massive stimulus package of 15.4 trillion yen, which is primarily in the form of spending and tax cuts, to protect the world's second largest economy from a deepening recession. The plan outlined by the Liberal Democratic Party Thursday includes emergency spending to protect jobs and boost corporate financing.

A report released by the Bank of Japan showed that Japan's corporate goods prices index or the producer price index fell 0.2% month-over-month in March. However, the decline was not as worse as the 0.5% drop in the previous month, although it was in line with expectations. Producer prices have been seeing a declining trend since September 2008.

Annually, producer prices fell 2.2% following a revised 1.6% drop in February. The decline was bigger than the 1.8% drop expected by economists. Meanwhile exports and import prices were down 3.2% and 17.2%, respectively in March compared to the year-ago period.

Most of the major world markets were closed on Friday on account of Good Friday.

There are no important economic reports scheduled to be released today from Europe and North America.

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