The safe-haven yen fell to its lowest level in a month as fears of Omicron subsided

On Tuesday, the Japanese yen fell to its lowest level in nearly a month against the US dollar as the tide turned against the safe-haven currencies after Wall Street rose to a record high that overshadowed fears of the pivot Omicron.

The Japanese currency fell to 114.935 yen against the dollar for the first time since November 26, before improving to around 114.80 yen thanks to lower long-term US Treasury yields.

The dollar, which is also considered a safe haven, continued to swing above the recent trading lows against a basket of its counterparts. The US currency received only limited support from expectations that the Federal Reserve will raise interest rates in March.

There was little change on the dollar index, which measures its performance against six major currencies, compared to the previous trading session, to settle at 96.078.

The Standard & Poor’s 500 Index rose to a record high on Monday after strong US retail sales data eased fears that the spread of the mutant omicron could spoil the economic recovery.

The pound, which usually rises with improved sentiment, has been swinging not far from its one-month high hit last night at $1.3445.

The euro settled near the highest levels of its range against the US currency this month, unchanged from Monday at $1.13255.