The dollar was up against the yen this morning in Asian trade as Japanese GDP figures were revised up by 1.3 per cent for the fourth quarter of 2006.

This morning the dollar bought 118.298 yen while the greenback was at $1.3132 to the euro and $1.9387 to the pound.

The main focus this week will be on US economic data on consumer spending.

A Commerce Department report to be published tomorrow is expected to show retail sales rose 1.3 per cent in February while a Labor Department report scheduled for Friday is expected to show an increase in consumer prices of 0.3 per cent fort February.

In the UK talk in the markets has once again focused on private equity as the management of recently formed Alliance Boots meets to decide if it will open its books to US-based KKR.

The Alliance Boots pharmacy group is reportedly the focus of the US private equity group backed by Italian billionaire Stephano Pessina.

KKR is thought to be preparing an approach of £10 per share, which would value the Nottingham-based company at about £9.7 billion.