TOKYO (AFP) -- The dollar was weak in Asian trade Monday in the wake of soft U.S. economic news as investors wondered about the U.S. Federal Reserve's interest rate policy action next month, dealers said.

Trade moved in tight ranges as investors squared positions in shortened trade this week ahead of holidays both in Japan and the United States.
The euro firmed to 1.4665 dollars in Tokyo afternoon trade from 1.4659 in New York last week, edging up towards its record high of 1.4752 dollars reached earlier this month.
The dollar slid to 110.59 yen from 111.07, while the single European currency slipped to 162.15 yen from 162.87.
The dollar, which has weakened considerably against the euro and most other currencies this year except the yen, came under pressure after negative economic reports late last week raised concerns about U.S. growth.
U.S. industrial output fell 0.5 percent in October, marking the biggest decline in production since January.
A separate report also revealed a lower-than-expected flow of international capital into the United States during September.
The U.S. capital flow balance rebounded in September to a surplus of 26.4 billion dollars, compared with a deficit of over 70 billion dollars in the prior month, but September's reading fell short of market hopes which had anticipated inward flows of around 70 billion dollars.
Market participants have been crossing their fingers for the U.S. central bank to trim rates once again at its December 11 meeting due to worries U.S. growth will be skidding to a halt.
The Federal Reserve has cut rates twice since September to its current 4.5 percent to respond to distressed financial markets that were hit by fallout from the U.S. ""sub-prime"" housing market of loans to high-risk customers.
The governors' remarks ""clearly showed that at least some of the Federal Open Market Committee members feel that it is time for a break before considering more easing,"" said John Noonan, an analyst at Thomson IFR.
""If Fed officials continue to beat the drum that they are not inclined to ease again it would send US yields higher and Wall Street lower,"" he added.
In a week thin on the economic calendar, traders were also looking ahead for minutes from the Fed's October meeting to be released Wednesday for clues as to the Fed's next move.
The minutes ""might prove the catalyst for an unwinding of expectations for a December rate cut,"" wrote NAB Capital strategist John Kyriakopoulos in a note.
""If bad news on the credit markets continues and the Fed looks unlikely to respond, equity markets and risk-appetite could take another hit, further weighing on carry trades,"" he added.
""Admittedly, the Fed could ultimately be proved right on the economy in not seeing a recession.""