Euro weak in Asian trade

TOKYO: The euro slipped in Asian trade Tuesday amid gloomy sentiment over the eurozone debt crisis and few fresh trading cues, while markets looked ahead to a speech by the US central bank chief this week.

The euro bought $1.2466 and 97.90 yen in Tokyo morning trade, down from $1.2535 and 98.41 yen in New York late Monday.

The dollar also edged lower to 78.56 yen from 78.74 yen.

Markets reacted little after the Japanese government cut its view of the economy in August for the first time in 10 months as slowing exports weighed on production and consumer spending showed few signs of picking up.

The government said in its monthly economic report Tuesday that the world's third-largest economy was "on the way to recovery at a moderate pace" but added that "weak movements have been seen recently".

The euro was hurt by German business confidence data released Monday, which showed sentiment fell for the fourth consecutive month as Europe's biggest economy shows more signs of wear and tear from the eurozone crisis.

Traders were on the lookout for signs of fresh monetary easing measures, with much of their attention focused on a speech that US Federal Reserve chairman Ben Bernanke was to deliver at an economic symposium on Friday.

Eurozone money supply data due out later Tuesday was also "relevant" to next week's monetary policy decision by the European Central Bank (ECB), National Australia Bank noted.