USD Declines as Risk Appetite Improves

The U.S. Dollar (USD) declined on Monday against its major rivals, as positive economic data encouraged risk appetite and reduced demand for safe havens. Accordingly, the greenback turned to the negative side in favor of riskier assets.

The Dollar Index (DXY), which measures the USD’s performance against a basket of six major international currencies, is down by 0.46% to 92.60.

The index has been moving today in a range between 92.54 and 93.11. After fluctuating within a tight range during the Asian and European hours, with most markets closes due to the Easter Holiday, the index turned to the negative trajectory since early U.S. hours.

Meanwhile, the benchmark U.S. 10-year Treasury bond yield fell by 1.6 basis points to 1.707%.

Earlier today, data showed an expansion in the U.S. services sector, adding to the signs of economic recovery, led by last week’s employment data that showed that the American economy added 916,000 new jobs during March.