Forex – Dollar near 7 Week Highs Boosted by Treasury Yields


© Reuters. Dollar near 7 week highs boosted by Treasury yields

Investing.com – The dollar was holding steady near seven week highs against a basket of the other major currencies on Tuesday, boosted by rising Treasury yields.

The , which measures the greenback’s strength against a basket of six major currencies, was at 90.70 by 03:18 AM ET (07:18 AM GMT), after hitting an overnight high of 90.84, the strongest level since March 1.

The yield on hit its highest in more than four years at 2.998% on Monday, as strengthening inflation prospects added to expectations for a faster rate of monetary tightening from the Federal Reserve.

The yield later backed off that level and was last at 2.960%.

The dollar hit ten-week highs against the safe haven yen, with up 0.15% to 108.87 after surging 0.83% on Monday.

The Japanese currency, which is often sought in times of market turmoil and political uncertainty and tends to decline as investor confidence returns, has weakened in recent sessions as worries over geopolitical risks and trade tensions waned.

The euro was near seven-week lows, with last at 1.2204 after plumbing an overnight low of 1.2185.

The pound was trading at one-month lows, with at 1.3932 as doubts over a prospective rate hike by the Bank of England next month weighed.

Last week the pound had surged to its highest level since the June 2016 Brexit vote.

Sterling was also pressured lowed by renewed uncertainty over ahead of a report on first quarter growth later in the week.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Comments

comments