© Reuters. FILE PHOTO: A photo illustration shows US $ 100 banknotes taken in Tokyo
By Kevin Buckland and Sagarika Jaisinghani
TOKYO (Reuters) – The US dollar climbed from an almost one-week low on Friday as yields rose, but it looks set for the first weekly drop in three against a basket of its main competitors as more risky currencies backed from get the calmer market. sentiment.
The six major currencies rose 0.2% to 91.58 after hitting 91,364 overnight for the first time since March 4. It fell by about 0.6% this week and fell back from a high of more than three months reached on Tuesday.
The euro traded at around $ 1.1965, while the European Central Bank, as generally expected, said on Thursday that it would accelerate the purchase of emergency bonds in the next quarter.
The dollar index strengthened more than 1.6% this year as it tracked the Treasury’s standard ten-year yields from below 1% to 1.625% at the end of last week. On Friday, the yield stood at about 1.55%.
Next week’s focus will be on the policy meeting of the US Federal Reserve after chairman Jerome Powell did not raise his concern about higher bond yields earlier this month.
“The real dollar story is still waiting for the Fed to play its card,” said Stephen Innes, chief global strategist at Axi.
“Will the Fed continue to give the devil talk? Or will it step back from its commitment to the devils when and if it becomes clear that the fiscal and vaccine-led recovery is in full swing? This is the line that separates the dollar bulls from bear for the next 6 to 12 months. “
The safe-haven Swiss franc fell to 0.9267 against the dollar after falling to a seven-month low earlier this week, while the yen fell 0.2% to 108.71.
The Bank of Japan could adapt a three-tier deposit system to next week’s policy review to release a larger portion of its negative interest rate reserves, sources told Reuters. [nL1N2L93FL]
The commodity-linked Australian and New Zealand dollars retreated from nearly one-week highs, but were still on track to achieve their first weekly profit in three, as improving economic data boosted metal prices.
The price traded at $ 0.77780 after reaching its highest level since March 4 overnight. New Zealand’s hands switched to $ 0.7215 after climbing a one-week high of $ 0.7240 overnight.
The oil-linked Canadian dollar was slightly lower at C $ 1.25 after rising for three live sessions.
Cryptocurrency bitcoin last traded at $ 57,150.49, up more than 12% for the week. It was higher than $ 58,000 earlier on Friday and reached a record high of $ 58,354.14 on February 21st.
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Exchange rates at 0403 GMT
Description RIC Last US Close Pct Change YTD Pct High Bid Low Bid
Previous change
Session
Euro / dollar $ 1.1962 $ 1.1986 -0.19% + 0.00% +1.1989 +1.1960
Dollar / Jen 108.7000 108.4150 + 0.22% + 0.00% +107.7750 +108.6500
Euro / Jen 130.03 130.02 + 0.01% + 0.00% +130.2800 +130.0200
Dollar / Swiss 0.9265 0.9247 + 0.20% + 0.00% +0.9267 +0.9247
Sterling / dollar 1.3975 1.3994 -0.13% + 0.00% +1.4004 +1.3973
Dollar / Canadian 1.2543 1.2536 + 0.09% -1.47% +1.2550 +1.2527
Aussie / Dollar 0.78781 0.78787 -0.07% + 1.16% +0.7800 +0.7771
NZ 0.7215 0.7227 -0.15% + 0.49% +0.7232 +0.7211
Dollar / dollar
All columns
Tokyo College
Europe College
Volatility
Tokyo Forex Market Information from BOJ