Currency markets witnessed remarkable stability today, Thursday, as investors awaited signs of the threat that the new Omicron strain of the Corona virus may pose and the speed with which the US Federal Reserve will reduce stimulus.
and fell dollar Against most of the competing currencies, while the prevailing caution among investors was reflected in the decline in stock markets in Europe in morning trading.
Index fell dollar, which measures the strength of the US currency against a basket of six major currencies, 0.2% on the day at 95.892.
The index fell last week after news of the Omicron strain first emerged, but remains close to a 16-month high of 96.938 hit last month.
Traders are also awaiting clarification on how quickly the Federal Reserve will reduce its bond purchases, at a time when central banks around the world are facing difficulties in determining how quickly to undo stimulus measures amid rising inflation.
The euro rose 0.2% against the dollar to $1.13370.
The yen, whose value strengthened last week as investors sought safe havens, fell 0.2% against the dollar to 112.94 per dollar.
The British pound also rebounded 0.4%, rising above the $1.33 level.