The dollar has risen against the yen and the euro on the back of strong labour data from the US government.

Against the yen, the dollar rose to 121.26, earlier rising to 121.35 yen - the highest level seen since February. Meanwhile, the US currency gained 0.1 per cent against the euro, increasing to $1.3496.

"The [US] job market is holding up pretty well, calming down some fears about the weakness of the economy," Stephen Malyon at Scotia Capital told Bloomberg.

"It's not surprising the dollar is strengthening here."

The rising currency has been attributed to lower than expected jobless claims in America and strong results from the Philadelphia Fed survey index for May.

However, leading indicators showed a 0.5 per cent decrease for April, marking a lower than expected decline.

Later today, finance ministers from the Group of Eight are due to meet to discuss various issues, including the recent weak dollar and concerns over foreign exchange rates, Bloomberg forecasts.