The dollar rose to a two-week high versus the yen before data that may add to the case for the Federal Reserve to pare back bond purchases.

The U.S. currency strengthened ahead of reports tomorrow that will probably show orders for durable goods grew and house prices continued to recover. Bookings for appliances, vehicles, engines, electronics and other durable goods grew 3 percent in May after rising 3.5 percent the prior month, economists in a Bloomberg News survey project a report tomorrow from the Commerce Department will show. The S&P/Case-Shiller index of home values for 20 cities probably rose 10.6 percent for the year ended April after a 10.9 percent increase in March that was the biggest year-over-year advance since 2006, according to the median forecast in another survey of economists before the June 25 report.

Fed Bank of Dallas President Richard Fisher will speak on monetary policy in London today. Fisher, one of the most vocal critics of the central bank's quantitative easing. He won't speak from prepared remarks, and will take questions from the audience and media.

The yen slumped against most major peers as Japan's ruling coalition won a majority in Tokyo elections, signaling support for Prime Minister Shinzo Abe. In Japan, the ruling Liberal Democratic Party and its coalition partner won nearly two thirds of the seats in a weekend Tokyo assembly poll, boding well for the party's prospects in a national upper house election in July.

Declines in the euro were limited before the release of a survey of German business confidence today. The Ifo institute's business climate index, based on a survey of 7,000 executives, probably rose to 105.9 in June from 105.7 last month, according to the median forecast in a Bloomberg News survey.

EUR / USD: during the Asian session the pair fell to $ 1.3085

GBP / USD: during the Asian session the pair fell to $ 1.5365

USD / JPY: during the Asian session the pair rose to Y98.70

Monday's calendar is fairly quiet, with much of the week's main data and central bank speakers due later in the week. However, the much watched Ifo is due. However, markets will have plenty to focus on today, as markets in Asia continue the volatility of recent session as US Treasury yields hit fresh 2-year highs. At 0800GMT, the German Ifo Survey will be released. After the better than expected euro area flash PMIs last week, markets will be looking for further evidence of an improvement in the German economy. Expectations are for a modest uptick in the Business Climate index to 105.9, with the Current Assessment seen at 109.8. Also at 0800GMT, Italy's June ISTAT consumer confidence survey will be released.