Yen widened its losses on Monday to nine-week lows as the dollar recovered and demand fell on safe havens, weighing on the Japanese currency.
USD/JPY rose to 107.81 from the opening of 107.77, with a session-low at 107.66, and a high at 107.88.
Japan's manufacturing PMI rose to 53.4 in April from 53.1, beating expectations of 53.3.
Yen remains under pressure due to a stronger dollar, as yields on US treasury yields rally, attracting liquidity away from other traditional safe havens.
Now markets await Bank of Japan's meeting later this week to see whether policymakers will look into exiting the current stimulus program sometime, or still sticking with it for the foreseeable future.