The Japanese yen weakened against the other major currencies in the Asian session on Monday, after data showed that Japanese trade balance figures rose less than expected in January.

Data from the Ministry of Finance showed that Japan posted a merchandise trade deficit of 1,086.9 billion yen in January, ballooning the deficit an annual 67.8 percent. The headline figure missed forecasts for a shortfall of 625.9 billion yen following the 640.4 billion yen deficit in December.

Exports were up 1.3 percent on year to 5.421 trillion yen, shy of forecasts for 5.0 percent and down from 5.4 percent in the previous month. Imports jumped an annual 8.5 percent to 6.508 trillion yen versus expectations for 4.8 percent after contracting 2.6 percent a month earlier.

The adjusted trade surplus was 155.5 billion yen, missing forecasts for 275.5 billion yen and down from 327.5 billion yen in December.

Meanwhile, Asian markets were trading higher, although the underlying mood remained cautious ahead of a busy week for the Fed, with speeches by at least five Fed officials awaited this week.

The minutes of the Fed's most recent meeting will be published on Wednesday, with investors looking for more insight on the probability of an interest rate increase at the March meeting.

In the Asian trading, the yen fell to 140.49 against the pound and 113.18 against the U.S. dollar, from early highs of 140.01 and 112.79, respectively. If the yen extends its downtrend, it is likely to find support around 144.00 against the pound and 115.00 against the greenback.

Against the euro and the Swiss franc, the yen dropped to 120.07 and 112.77 from early near 2-week highs of 119.65 and 112.41, respectively. The yen may test support near 122.00 against the euro and 115.00 against the franc.

Looking ahead, Canada wholesales data for December and Eurozone consumer Confidence index are due to be released in the New York session.

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