The yen was 0.2% lower at 148.26 per dollar, while Sterling dropped to a two-week low of $1.3453

The dollar was steady on Monday as traders looked ahead to a slew of speeches from U.S. central bank officials throughout the week that could provide further clues on the rate outlook, after the bank resumed its easing cycle last week.

Currency moves in the Asia session were more subdued after a volatile ride last week following a raft of rate decisions including that of the U.S. Federal Reserve, the Bank of England (BoE) and the Bank of Japan (BOJ).

The yen was last 0.2% lower at 148.26 per dollar, paring its gains from Friday after a hawkish shift in the BOJ’s rhetoric raised the prospect of a near-term rate hike.

Sterling, meanwhile, dropped to a two-week low of $1.3453, pressured by domestic headwinds after a surge in UK public borrowing and a BoE rate decision that laid bare the challenge for policymakers in balancing growth and inflation.

We have pushed our forecast for the next move into 2026, Jane Foley, head of FX strategy at Rabobank, said of the BoE’s next expected cut.

However, with this mostly already priced in and with the attentions of GBP investors squarely focused on the UK fiscal backdrop, we remain of the view that GBP is set to be on the back foot into the autumn and potentially beyond, Foley added.

In the broader market, the dollar extended its rebound from last week’s knee-jerk fall following the U.S. central bank’s rate cut, rising slightly against a range of currencies to 97.78.

The euro was down 0.15% at $1.1731.

The Australian dollar gained 0.07% to $0.6595, drawing some support from upbeat economic comments from a top central banker. The New Zealand dollar edged 0.03% higher to $0.5858.