The dollar dropped from a seven-year high against the yen and a two-year peak versus the euro on Monday, as investors consolidated gains made following a strong U.S. jobs report that is expected to trigger an interest rate increase next year.
The greenback's outlook remained upbeat despite Monday's fall. Investors were already looking ahead to the December monetary policy meeting of the U.S. Federal Reserve next week, watching for a change in the statement's language to a more hawkish tone.
The dollar posted its largest one-day loss against the yen since mid-October, falling after four straight days of gains. On the year, however, the dollar was still up 14 percent.