The strengthening of the US dollar was limited to the opening of the European session, showing the king of the currency recording depreciation against most major currencies.
Even so, most of the gains made by the greenback dollar following the previous statement by Federal Reserve (Fed) Chairman Jerome Powell were still retained.
At the time of writing, the dollar index is slightly down at around 98.65 against its main competitor.
Speaking at the National Association for Business Economics Conference on Monday, Powell has expressed the central bank’s willingness to raise interest rates more aggressively with a rise of more than 25 basis points at the next meeting.
US 10 -year bond yields, which soared following the statement, still maintained their strength at their highest level since May 2019 at around 2.3%.
Among the currencies that gained following the US dollar’s depreciation was the pound sterling, which saw it trade at a one -week high. Meanwhile, the euro also rose by trading at around 1,100 against the USD.
Commodity-linked currencies, the Aussie dollar and the kiwi were also traded higher as in the previous session also the two currencies were not affected by the strengthening US dollar.
The loonie dollar also strengthened to a one -month high, supported by a surge in world crude oil prices following concerns that the European Union (EU) may restrict Russian oil imports.
However, the US dollar remained traded stronger against the yen which brought the ninja currency further weakening to its lowest level since February 2016.
