The US dollar extended losses as currencies investors bet on slowing rate hikes later this year following US Federal Reserve chairman's dovish remarks last week.
The Australian dollar increased to $0.7142 from $0.7116.
The US dollar bought 108.60 Japanese yen, higher than 108.52 Japanese yen of the previous session. The US dollar was down to 0.9794 Swiss franc from 0.9864 Swiss franc, and it decreased to 1.3296 Canadian dollars from 1.3394 Canadian dollars.
Global foreign exchange market embraced the first day of the week with bumpy trading as fewer interest rate hikes later would lead to more hot money flowing in the market.
This would pare the greenback's comparative edges against other major currencies, especially those with safe haven functions such as the Swiss franc. The US dollar lost 0.7 per cent against the Swiss franc on Monday.
"And particularly with muted inflation readings that we've seen coming in, we will be patient as we watch to see how the economy evolves," he noted.
He added that the US central bank would not hesitate to adjust its balance sheet reduction plan if it causes problems in the markets. That means altering its massive bond-purchasing program initially implemented in late 2008 to rescue the collapsing US financial system.
Rising oil prices on Monday also uplift some commodity-related currencies, as both US crude and Brent crude extended gains. The Australian dollar extended gains of nearly 0.4 per cent against the greenback.
The dollar index, which measures the greenback against six major peers, fell 0.54 per cent at 95.6675 in late trading.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)