The dollar was near a record low against the euro and an eight-year low against the yen after weak US employment data fuelled recession fears.
Asian stocks hit their lowest in almost seven weeks on Monday, while Britain's FTSE 100 was down as much as 0.9 per cent, and Germany's DAX and France's CAC 40 tipped to open down as much as 1 per cent.
Inflationary pressures remain a concern around Asia.
Data today showed South Korean producer prices rose 6.8 per cent in February from a year before, the biggest gain in over three years, while Chinese producer prices were up 6.6 per cent.
Oil prices kept near a record high despite the worsening global economic outlook, held up by cold weather in parts of the United States, while gold moved back above $975 an ounce.
The prospects of a US recession and worsening global credit conditions have hit Asian stocks hard this year, with the MSCI index down 14 per cent as of last week.