TOKYO - The dollar was slightly weaker in Asian trade on Friday, fanning concerns in the region that the greenback's slump could put the brakes on a nascent economic recovery.

The euro rose to $1.4864 in Tokyo morning trade from $1.4845 in New York late Thursday, and to 134.23 yen from 134.11. The dollar inched down to 90.32 yen from 90.34.

The greenback had risen in US trade as doubts about the sustainability of the world economic recovery triggered demand for the "safe-haven" currency.

"Stocks market investors got the jitters about the strength and durability of the global economic recovery," said NAB Capital strategist John Kyriakopoulos.

Executives at US retail giant Wal-Mart soured the mood by voicing caution about the outlook for US consumer spending, while Chinese premier Wen Jiabao warned the economic recovery would be gradual and bumpy, he added.

US Treasury Secretary Timothy Geithner reiterated Thursday it was "very important" to have a strong dollar, but dealers noted that Washington has done nothing to arrest the greenback's decline, which is good for its exports.

The currency issue has sparked trade tensions at a meeting of Asia-Pacific ministers in Singapore, where Asian nations have voiced alarm about the impact of the plunging dollar on their own exports.

Traders were eyeing a regional trip by US President Barack Obama, who was due to arrive in Japan later Friday before heading to an APEC summit in Singapore.

US officials say the yuan's tightly controlled exchange rate will be up for discussion when Obama goes on to China next week.

But "it will be difficult for US officials to push too hard on the yuan given the political sensitivities involved and the fact that the US does not want to provoke a harsh reaction from China, given the huge amount of US Treasuries held by China," said Calyon analyst Mitul Kotecha.

"China will move in its own time and we look for a close to five percent appreciation of the yuan in 2010," Kotecha said.

Markets were also waiting for US trade data, with analysts expecting the deficit widened in September.