Dollar surges

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TOKYO: The dollar recouped some ground after dipping to a two-week low against the yen in Asian trading on Monday, but it lacked momentum as investors awaited this week´s speech by U.S. President Donald Trump for clues on tax reform.

Trump will make his first major policy address to Congress on Tuesday. It is expected to include some details of his infrastructure spending and tax plans, but some market participants worry that a lack of fresh direction could disappoint investors and weigh on the dollar.

Treasury Secretary Steven Mnuchin said in a televised interview on Sunday that Trump will use the event to preview some elements of his sweeping plans to cut taxes for the middle class, simplify the tax system and make American companies more globally competitive with lower rates and changes to encourage U.S. manufacturing. The dollar added 0.2 percent to 112.20 yen, after falling as low as 111.920 yen earlier in the session, its lowest since Feb. 9. The euro was steady on the day at $1.0562, as concerns about France´s upcoming election continued to weigh on the single currency.

While current polls show National Front leader Marine Le Pen losing either to centrist Emmanuel Macron or right-wing Francois Fillon, investors have not counted her out, and many fear that she could lead France out of the euro zone.