Dollar slips from 4-week high on profit-taking

2019-05-20 12:48:15 GMT (Economies.com)
Dollar slips from 4-week high on profit-taking

US dollar fell slightly on European markets on Monday against a basket of major currencies, to head for the first loss in six days, down from a four-week high reached earlier in the Asian market trading, with an increase in the correction and profit taking activity, as the market still assessing developments in the US-China trade conflict.

 

The dollar index fell by 0.1% to 97.74 points, from the opening level of 97.82 points, with the highest level (since April 26) at 97.87 points.

 

The index rose 0.2% on Friday, its fifth daily gain in a row, among the longest daily gains since last February, on strong data in the United States on levels of confidence in the world's largest economy.

 

The University of Michigan's consumer sentiment index jumped by 5.3% in May to 102.4 points, the highest reading since 2004, with 97.8 points and 97.2 points.

 

Over the past week, the dollar index gained 0.8%, the first weekly gain in the past three weeks, with rapid buying activity for the currency as the best current investment in the foreign exchange market.

 

Euro is also facing weakness in Europe's economic fundamentals, with political concerns in Italy, and the pound is under pressure from  Britain's possible chaotic withdrawal from the EU, in addition to the currencies of Canada, Australia, and New Zealand falling under pressure from prospects of their central banks cutting interest rates.

 

US-China trade talks came to a halt as US President Donald Trump's administration imposed a ban on Chinese technology companies over the weekend as Google suspended some of its future businesses with Chinese technology giant Huawei.

 
 
 
  Symbol Last Change Chg.%
1.1219
0.0001
0.0062%
1.2632
0.0049
0.3870%
14.969
0.101
0.679%
53.578
1.069
2.035%
62.03
-0.11
0.18%
1345.355
4.075
0.304%
 
 
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