The Dollar is Rising as US Treasury yields Recover Some of Their Losses

The dollar rose slightly on Monday, with US Treasury yields rising from their lowest in two and a half months hit last week, after news that initial observations showed that people with the new mutant of the Coronavirus Omicron had only mild symptoms.

News from South Africa’s Omicron helped turn some of the market’s moves on Friday when US stocks sold off heavily.

The sell-off lowered 10-year US bond yields below 1.4 percent for the first time since late September and supported the safe-haven yen and Swiss franc prices. The dollar fell 0.4 percent against the yen.

The dollar index rose 0.10 percent to 96.29, not far from its 16-month peak in November, when it reached 96.938.

The dollar rose 0.2 percent against the Japanese currency to 113.05 yen and rose 0.4 percent against the Swiss franc.

The euro fell a quarter of a percentage point against the dollar.

Cryptocurrencies saw significant losses on a volatile weekend, with Bitcoin dropping at one point by 20%. Bitcoin found a support level at $49,000.