They may not have discussed the dollar but they did discuss the prospects of a North Korean missile launch Obama said he would take North Korea to the UN Security Council if they launch their three-stage missile and apparently Hu did not say he would block the move.
While there may be some agreement on sanctioning North Korea, as the old song goes, when you ain’t got nothing, you’ve got nothing to lose. It is hard to see North Korea being dissuaded by a threat of sanctions.
USD/JPY is falling on the Korean sanctions talk. Japan, as a neighbor and traditional enemy of North Korea, is the most impacted by the back and forth on missile launches. The dollar slipped to 98.50 after spending much of the morning between 98.75/99.00. 0.9835 is support on pullbacks.