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Weaker pound, retail stocks boosts FTSE 100; Mid-caps end best day in two-weeks;
Published at 22/04/2021 at 17:35 -
Solid earnings boost European stocks as ECB stands pat
Published at 22/04/2021 at 17:22 -
FTSE 100 rises on miners, industrials boost; Rentokil Initial slumps
Published at 22/04/2021 at 08:22 -
European shares extend gains on upbeat Nestle, Volvo earnings
Published at 22/04/2021 at 08:17 -
UK Stocks-Factors to watch on April 22
Published at 22/04/2021 at 07:52 -
UK Stocks-Factors to watch on April 22
Published at 22/04/2021 at 06:17 -
FTSE 100 ends higher on AstraZeneca, oil stock boost; Just Eat Takeaway slumps
Published at 21/04/2021 at 17:29 -
European shares rebound on strong earnings, M&A speculation boosts Hugo Boss
Published at 21/04/2021 at 17:17 -
FTSE 100 rises on boost from BP, Shell; Just Eat Takeaway slumps
Published at 21/04/2021 at 08:23 -
European stocks bounce back as ASML outlook lifts tech sector
Published at 21/04/2021 at 08:20
Forex News
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FOREX-Euro and U.S. dollar waffle as markets weigh ECB policy talk
Published at 22/04/2021 at 15:52 -
FOREX-Euro inches higher ahead of ECB meeting, dollar languishes
Published at 22/04/2021 at 12:09 -
FOREX-Euro tiptoes higher ahead of ECB meeting
Published at 22/04/2021 at 09:12 -
FOREX-Dollar near multi-week lows as yield support fades, euro eyes ECB
Published at 22/04/2021 at 06:17 -
FOREX-Dollar loses bond yield support, euro looks to ECB for inspiration
Published at 22/04/2021 at 03:24 -
FOREX-Dollar stalls as yield gains slow, focus shifts to ECB
Published at 22/04/2021 at 02:03 -
FOREX-U.S. dollar losses bounce after Canada tips toward higher rates
Published at 21/04/2021 at 21:00 -
FOREX-U.S. dollar losses bounce after Canada tips toward higher rates
Published at 21/04/2021 at 17:51 -
FOREX-Dollar firm as COVID-19 resurgence dampens risk appetite
Published at 21/04/2021 at 15:25 -
FOREX-Dollar firm as COVID-19 resurgence hits reflation trades
Published at 21/04/2021 at 12:33
Market News
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PRECIOUS-Gold slips 1% as stronger U.S. dollar weighs
Published at 22/04/2021 at 19:15 -
Oil eases as Libya output decline offsets risks to Asian demand
Published at 22/04/2021 at 19:09 -
PRECIOUS-Gold slips from 2-month peak, palladium holds near record high
Published at 22/04/2021 at 13:20 -
PRECIOUS-Gold nears $1,800 level as U.S. dollar, yields lose ground
Published at 22/04/2021 at 08:25 -
Oil falls 3rd day on U.S. stock build, surging COVID-19 cases
Published at 22/04/2021 at 03:04 -
PRECIOUS-Gold hovers near eight-week high on easing U.S. dollar, yields
Published at 22/04/2021 at 02:37 -
Oil prices drop 2% on U.S. crude build, COVID-19 surge in India
Published at 21/04/2021 at 22:33 -
PRECIOUS-Supply woes push palladium to record high, gold up more than 1%
Published at 21/04/2021 at 18:54 -
PRECIOUS-Gold gains as easing U.S. Treasury yields boost appeal
Published at 21/04/2021 at 14:04 -
PRECIOUS-Gold gains as softer U.S. dollar, yields lift appeal
Published at 21/04/2021 at 08:11
FOREX-Dollar dips, Aussie jumps on global growth optimism
Published at
25/02/2021 at 15:31
* U.S. dollar at three-year lows vs Aussie dollar
* Euro-dollar crosses $1.22
* Graphic: World FX rates
(Rewrites throughout, updates prices, new byline, changes dateline, previous LONDON)
By Karen Brettell
NEW YORK, Feb 25 (Reuters) - The dollar index fell to a seven-week low on Thursday, the Australian dollar hit a three-year high and safe havens weakened as global growth optimism sent government debt yields surging worldwide.
Easy financial conditions, the promise of fiscal stimulus and accelerating COVID-19 vaccine rollouts have boosted expectations that growth and inflation will accelerate.
More recently, bond yields after adjusting for inflation have also risen at a faster pace, indicating a growing belief that central banks may begin to pare back their ultra-loose policies, even as central bank officials have maintained their dovish rhetoric.
“It has been a global move, I think that’s one part of why the dollar wasn’t rallying even with higher yields,” said Vassili Serebriakov, an FX strategist at UBS in New York. “Those higher bond yields are a symptom of expectations of a strong economic rebound after the pandemic.”
The dollar dipped 0.26% against a basket of currencies
to 89.797, its lowest since Jan. 8.
Data on Thursday showed that fewer Americans filed new claims for unemployment benefits last week amid falling COVID-19 infections.
Federal Reserve Chair Jerome Powell reiterated on Wednesday that the U.S. central bank would not tighten its policy until the economy improves.
Commodity-linked currencies, including the Australian, New Zealand and Canadian dollars, all hit three-year highs as their bond yields surged.
“The U.S. has actually lagged a lot of these other countries in terms of the yield moves,” said Erik Nelson, a macro strategist at Wells Fargo in New York, noting that New Zealand’s 10-year Treasury yield gained 18 basis points on Thursday.
That is "pretty stunning," he said. “The commodity space has obviously been very hot recently.”
The Aussie got as high as $0.80007 against the greenback while the kiwi reached $0.7463.
The Canadian dollar got as far as 1.2468 loonies per U.S. dollar.
The euro also gained to a three-week high, despite its bond yield increases lagging other countries. It was last up 0.44% at $1.2224.
The safe-haven Japanese yen, which tends to underperform when global growth improves, weakened as far as 106.20 yen per dollar.
“Some of the currencies that typically don’t do well in a global rebound are lagging,” Serebriakov said. “There is some differentiation (in dollar weakness), it’s not just across the board the way it was last year when everything was driven by U.S. real yields falling and selling dollars across the board.”
Bitcoin was last up 2.67% on the day at $51,080, having recovered some of its losses from the start of the week
.
========================================================
Currency bid prices at 10:15AM (1515 GMT)
Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid
Previous Change
Session
Dollar index 89.7970 90.0450 -0.26% -0.204% +90.1440 +89.6770
Euro/Dollar $1.2224 $1.2170 +0.44% +0.05% +$1.2244 +$1.2140
Dollar/Yen 106.1600 105.8600 +0.26% +2.76% +106.1900 +105.8800
Euro/Yen 129.76 128.79 +0.75% +2.24% +129.8900 +128.7900
Dollar/Swiss 0.9046 0.9065 -0.20% +2.26% +0.9081 +0.9038
Sterling/Dollar $1.4151 $1.4143 +0.07% +3.59% +$1.4182 +$1.4124
Dollar/Canadian 1.2498 1.2515 -0.14% -1.86% +1.2520 +1.2468
Aussie/Dollar $0.7960 $0.7968 -0.11% +3.46% +$0.8007 +$0.7953
Euro/Swiss 1.1056 1.1029 +0.24% +2.30% +1.1097 +1.1026
Euro/Sterling 0.8635 0.8604 +0.36% -3.38% +0.8655 +0.8597
NZ $0.7435 $0.7443 -0.08% +3.57% +$0.7464 +$0.7420
Dollar/Dollar
Dollar/Norway 8.3815 8.3720 -0.11% -2.61% +8.3920 +8.3200
Euro/Norway 10.2450 10.1916 +0.52% -2.12% +10.2548 +10.1759
Dollar/Sweden 8.2396 8.2747 +0.10% +0.53% +8.2831 +8.2067
Euro/Sweden 10.0738 10.0642 +0.10% -0.03% +10.0832 +10.0410
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ World FX rates
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
(Reporting by Karen Brettell; editing by Jonathan Oatis)
((karen.brettell@thomsonreuters.com))