The US dollar strengthened rapidly after the release of the April US PMI report, which indicated that both the manufacturing and services PMI remained below the 50.0 threshold, signaling ongoing contraction. This suggests that the US economy may soon slow down.

Additionally, investors are closely watching the resilient durable goods orders from March, which increased by 1.4% in February, indicating a trend in inflation rates.

Meanwhile, the Japanese yen weakened as investors anticipate that the Bank of Japan (BoJ) will not raise interest rates this week. Surveys suggest that the BoJ may adjust monetary policy again after June.