The dollar fell the most in three weeks as a report showing U.S. manufacturing slowed added to speculation whether the economy is strong enough for the Federal Reserve to accelerate reductions in its asset-purchase program.
The U.S. currency fell versus most major peers after its biggest monthly gain in January since May as a global selloff of emerging-market currencies prompted investors to seek haven assets. The euro strengthened against the dollar before the European Central Bank meets this week amid speculation slowing inflation may prompt officials to consider additional stimulus. The Polish zloty rose while a broader measure of emerging-market currencies extended last week’s losses.
“The ISM number is the main driver in the market,” Dan Dorrow, the head of research at Faros Trading LLC in Stamford, Connecticut, said in a phone interview. “It’s not a good number for risk currencies. That’s why we’re seeing the move for dollar-yen.”
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Latest posts by marketpulsefxstaff (see all)
- Oil Remains Near Multi-Month Lows - 6 August 2015
- U.S. Dollar Higher on Recent Data - 6 August 2015
- Greece’s PM Tsipras: Loan Deal with Lenders Close - 6 August 2015