TOKYO, Japan -- The dollar lost ground in sluggish Asian trade Tuesday as traders locked in recent gains ahead of a raft of US economic data and corporate earnings results, dealers said.The dollar declined to 107.97 yen in Tokyo morning trade from 108.15 in New York late Monday. The euro rose to $1.5513 from $1.5477 and to 167.57 yen from 167.50. "The dollar faced moderate selling pressure as it was rising at a faster pace recently," said Saburo Matsumoto, chief forex strategist at Sumitomo Trust Bank. "Players are now on the sidelines looking to key indicators and earnings results," he said. "Dollar-buying sentiment remains alive but we need more factors to support the currency." The US government is scheduled to announce May figures for wholesale inflation, housing starts and industrial output later in the day, while in Germany the ZEW index of economic sentiment is also due to be released. Markets are also awaiting results from Wall Street giant Goldman Sachs amid concern about possible write-downs due to the credit crunch, while Morgan Stanley is set to announce earnings later this week. The dollar advanced last week on signs that US policymakers are increasingly worried about the weakness of the greenback and growing inflationary pressures. But some traders opted to lock in recent profits on the currency's rise after remarks from finance ministers from the Group of Eight industrialized nations at a weekend meeting failed to give a strong boost to the greenback. Although central bank chiefs did not attend the talks, some players had apparently been betting that the ministers might drop a hint that market intervention to boost the dollar was a possibility, dealers said. The euro was supported by news that inflation in the 15-nation euro zone hit a record 3.7 percent in May, driven by soaring oil and food prices to the highest level since the single European currency was launched in 1999. The data added to speculation that the European Central Bank may raise interest rates next month, dealers said. | 
