Dollar halts losses ahead of midterm results

The dollar settled near a two-month low against the euro on Wednesday as investors awaited the results of the US midterm elections and inflation data due this week that will guide speculation on the path of a future US interest rate hike.

Cryptocurrencies are also high on investor interest, stabilizing after tumbling on Tuesday.

The euro recorded $1.0066, little changed from $1.0096 last night, the highest since Sept. 13. The dollar also fell to 145.17 yen in Asian trading, its lowest level against the Japanese currency this month, and fell to 0.9823 Swiss francs, the lowest level also in nearly five weeks.

The US currency came under downward pressure almost last week due to bets that the Federal Reserve will back down from its hawkish policy in raising interest rates, and China will ease anti-Corona restrictions and boost growth.

The dollar index, which is headed for its best year in nearly four decades, has fallen about 1 percent so far this week to swing at 109.68 on Wednesday.

The British pound settled at $1.1540, while the Australian and New Zealand dollars rose in evening trade to a multi-week high against the US dollar before falling back during Asian trading.

The preliminary results of the midterm congressional elections showed only a blurry picture, with the Republicans still likely to win a majority in the House of Representatives, despite the Senate remaining amenable to go to the control of either party, Republican or Democrat.

Cryptocurrency markets have experienced days of turmoil and were trying to stabilize on Wednesday after Binance announced plans to buy rival cryptocurrency exchange FTX as part of a bailout.

The cryptocurrency FTX fell sharply on Tuesday to a two-year low of $ 17.1141.

On Wednesday, Bitcoin was stable just above $18,000, but FTT fell another 20 percent.