Currencies Overview: The Dollar Steady Near Lowest Level in Two Weeks

During trading, the US dollar approached its lowest level in more than two weeks against the major counterpart currencies on Thursday, April 8th, to track low Treasury yields, after the minutes of the March Federal Reserve policy meeting did not provide new incentives to determine the market direction.

The meeting minutes revealed that US Federal Reserve officials are still cautious about the risks of the pandemic, even as the US recovery is gaining momentum under massive stimulus, and that they are committed to pumping money into supportive monetary policies until a more robust recovery occurs.

The dollar index, which tracks the performance of the US currency against a basket of six competing currencies, fell to 92.371 in the Asian session, after falling to 92.134 on Wednesday for the first time since March 23.

The index rose to its highest level in nearly five months at 93.439 at the end of last month, as the US recovery from the pandemic outpaced most of the rest of the developed countries, especially Europe.

And the US benchmark 10-year Treasury yield is around 1.67% on Thursday, after falling below 1.63% overnight. It reached its highest level in more than a year at 1.776% late last month.

The dollar fell slightly to 109.66 yen, to consolidate after falling from its highest level in more than a year at 110.97, which it reached on March 31.

The euro was almost unchanged from its level yesterday at 1.18715 dollars after it recovered from its lowest level in nearly five months at 1.1704 dollars, which it touched on March 31.