The dollar is falling as US Treasury yields remain weak


The dollar fell on Monday as US Treasury yields continued to weaken and investors looked ahead to the US and European Central Bank meetings.
Friday’s US jobs data put pressure on the dollar, with investors betting that job growth in the world’s largest economy was not strong enough to raise expectations for the Federal Reserve to tighten monetary policy.
That trend continued today, with Treasury yields continuing to weaken after falling on Friday, reducing demand for the US currency, according to Reuters.
“Treasury yields rose slightly throughout the session although they remain well below levels seen before the jobs report. This was likely the driver of the weak US dollar today,” said Ronald Simpson, currency markets analyst at Action Economics.
The benchmark 10-year US Treasury yield was 1.569 percent, after falling to 1.560 percent from 1.628 percent on Friday.
The dollar index, which measures the value of the greenback against a basket of six competing currencies, fell 0.21 to 89.946 in the late trading session, while the euro rose 0.24 percent to $ 1.2194.
The Australian dollar, which is a sign of investors’ appetite for risk, rose 0.22% against the US dollar to 0.776.
In the cryptocurrency market, Bitcoin fell 0.60 percent to $35,598.20 while Ether rose 0.66 percent to $2,728.35.


Please enter your comment!
Please enter your name here