The dollar is falling from its highest level in two decades

The US dollar retreated from its highest level in two decades against a basket of major currencies on Thursday, as investors awaited the speech of Federal Reserve Chairman (US Central Bank) Jerome Powell in anticipation of recent indications regarding the course of monetary policy.

The Australian dollar has outperformed its advanced market counterparts as it follows the path of the rising Chinese yuan.

The dollar index, which measures the performance of the US currency against a basket of six major currencies, fell 0.19 percent to 108.42, but it remained not far from the highest levels recorded since September 2002 at 109.29, which it touched in mid-July.

The dollar fell 0.25 percent to 136.78 yen, retreating from a one-month high of 137.705 yen.

The euro rose 0.18 percent to $0.99865, after falling to a twenty-year low of $0.99005 on Tuesday.

The pound rose 0.2 percent to $1.1815, after hitting its lowest level since March 2020 on Tuesday at $1.1718.

The Australian dollar rose 0.59% to $0.69475, rising from its lowest level in more than a month, reached this week at $0.6856.

The New Zealand dollar also increased 0.35 percent to $0.6212. It hit a one-month low of $0.6157 on Monday.