Dollar loses momentum after weeks of rally

The US dollar is headed for its worst week since early February against major currencies on Friday, losing some of the momentum it gained from a sudden 10 percent rise in its value.

The dollar received a boost from investors’ appetite for it as a safe haven amid turmoil in the markets due to fears of the impact of high inflation and the Russian invasion of Ukraine.

But after rising in the last 14 weeks except for two, the dollar index is heading for a weekly decline of 1.5 percent on Friday.

The index, which measures the dollar’s performance against six major currencies, was broadly stable on the day at 102.92. The dollar rose to its highest level since January 2003 at 105.01 last Friday.

Other safe-haven currencies rose this week as global stocks came under pressure.

The Swiss franc is heading for a weekly gain of about three percent against the dollar, while the Japanese yen is heading for a weekly gain of about one percent.

The Swiss franc finally settled on a broad scale at 0.97350 franc, while the yen fell 0.2 percent to 128.205 yen.

The euro also benefited from the dollar’s weakness, and is heading for a weekly gain of 1.5 percent. And recorded in its latest trading on Friday, a decrease of 0.1 percent at $ 1.05755.

The British pound is preparing for its biggest weekly gain since December 2020, and settled at $1.24805 on the day.

In the case of cryptocurrencies, the price of Bitcoin settled at just over $30,000, halting the sharp declines it has seen in recent weeks.