The dollar is suffering to recover from its lowest level in 7 weeks


The dollar weakened today, Wednesday, hovering just above the lowest level in seven weeks in light of the decline in US bond yields, which reduced the demand for currency returns.
The US currency, which is considered a safe haven, received some support from the decline in global stocks from record highs, as the escalation of Corona virus infections from India to Canada deteriorated expectations for a rapid global recovery.The yen also received support from the appetite for safe havens, as the Japanese currency rose to a new peak in seven weeks at 107.88 per dollar on Wednesday.

The dollar index, which tracks the performance of the greenback against six currencies, reached 91.254 in Asia after it fell to 90.856 on Tuesday for the first time since the third of March. The index has fallen 2.1% since the beginning of the month.

And the single European currency was trading at $ 1.20275, after touching a seven-week high of $ 1.2079 overnight.

The European Central Bank releases its policy decision tomorrow, followed by the US Federal Reserve and the Bank of Japan next week.

The benchmark 10-year Treasury bond yields are around 1.56%, near their lowest levels since mid-March, as they continue to hold after retreating from a 14-month high of 1.7760% reached at the end of last month.

India announced 1,761 deaths from Corona, the highest daily count, while Canada and the United States extended a closure of land borders for non-essential travelers.

Asian stocks followed Wall Street, as travel stocks weighed on sentiment.
Oil fell, pushing commodity-related currencies lower overnight.

The Canadian dollar traded at 1.26110 to the US dollar in Asia, following its biggest decline in nearly two months on Tuesday. The Bank of Canada is due to announce its policy decision later today.

The Australian dollar, a gauge of risk appetite, weakened, down 0.2% to $ 0.77057, after falling 0.4% overnight.

In the cryptocurrency market, bitcoin traded at about $ 55,500, to stabilize after falling to $ 51541.16 on Sunday. The currency hit a record high of $ 64,895.22 on April 14th.


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