The positive move in risk sentiment makes it tough for the greenback to outperform its rivals early Tuesday.
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Choppy, range-bound trading in the major currencies continues.
Following Friday's decline, the U.S. dollar Index (DXY) rose to begin the new week on a good note.
The first full week in February starts slightly on the back-foot, as the Bloomberg Dollar index approaches a 2-month high, US equity futures tick lower, and the 10-year Treasury firmly regains the 4% level.
The U.S. dollar index fell on Tuesday, near its lowest level in six months. It was pulled down by better market confidence following China's announcement that quarantine limits for entering passengers will be lifted in early January.
The USD drifted about 0.3% lower yesterday while remaining above its closing level from Friday’s NFP-induced gains, trading unchanged overnight.
On Wednesday, financial markets remained bumpy as trading conditions remained thin ahead of the New Year holidays.
After a small, corrective dip in the USD since Tuesday’s peaks, there are some tentative signs of a generally firmer USD emerging in trading today.
The U.S. dollar maintains its lead over its major rivals early Thursday, as investors appear to be on the sidelines ahead of significant macroeconomic data releases.
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