The Dollar Falling Due to Falling US Bond Yields and Focus on Inflation Data

The dollar fell to near its lowest level in two and a half weeks against the major counterpart currencies on Monday, April 12th, as a decline in US Treasury yields pressed the currency.

The British pound fell, heading towards its lowest level in two months, and continued its retreat from its three-year high reached in February. Analysts point out that the matter is due to concerns about the AstraZeneca vaccine to prevent Covid-19 causing blood clots, which is the vaccine that Britain has relied on strongly in its immunization program.

Bitcoin was trading at more than $ 60,000, reducing the spread that separates it from a record high reached earlier.

The dollar and bond yields are taking a breather after reaching a multi-month peak at the end of last month, driven by bets that an acceleration of the US recovery from the impact of the Coronavirus pandemic will raise inflation at a faster rate than policymakers at the Federal Reserve expected.

The dollar index, which measures the performance of the US currency against a basket of six competing currencies, did not witness any change in Asia, recording 92.304, after dropping 0.9% last week. On Thursday, the index fell below 92 for the first time since March 23.

Meanwhile, US inflation data is expected to be released on Tuesday.

The dollar hovered near its lowest level since March 23 against the euro, recording $ 1.1901. It also bought 109.66 yen, near a two-week low it reached on Thursday, when it fell below 109.

The pound sterling fell 0.2% to $ 1.36745, close to its lowest level since the eighth of February, which it hit on Friday, and it reached 1.3670.

Bitcoin traded at $ 60,102.69, after rising at the end of the week to $ 61,222.22, approaching a record high of $ 61,781.83 a month ago.