U.S. Dollar Remains Near Three Month Lows on Data

The dollar languished around a three-month low against the euro in early Asian trade on Monday after downbeat U.S. economic data bolstered expectations that the Federal Reserve will wait longer to raise U.S. interest rates.

Industrial production fell for a fifth straight month in April and consumer confidence sagged in early May, quashing any remaining expectations that the U.S. central bank will begin raising rates as early as next month and backing the case that policymakers would hold off until September or December.

Data from the Commodity Futures Trading Commission released on Friday showed that speculators further pared back their bullish dollar bets in the week ended May 12, pushing the net long position down for the seventh straight week to their lowest in nine months.