The U.S. dollar has taken a beating in the aftermath of last week's much softer-than-anticipated non-farm payrolls report, dealing a blow to those betting on a stellar year for the greenback.
A dollar sell-off that began on Friday after news that the U.S. economy created 74,000 new jobs last month versus expectations for a 200,000 gain extended into Monday, with the greenback tumbling to one-month lows against the Japanese yen and Australian dollar.
China's yuan meanwhile hit a record high at 6.0415 per dollar on Tuesday.
"Certainly, it [the dollar move] is a very grave challenge for the dollar bulls," said Sean Callow, senior currency strategist at Westpac Bank in Sydney.
"It's a definite worry if you're bullish on the dollar because there's been no shortage of economists coming out to explain that the December payrolls report was impacted by special factors and could be reversed next month," Callow said. "They could be right, yet the money is not being placed to back that call."