LONDON (Reuters) – The dollar traded near a two-week peak versus the yen on Friday and growth-linked currencies were in demand, boosted by hopes of an end to the stalemate over the U.S. budget.
Fears of a possible U.S. debt default have damaged the credibility of the world’s largest economy and hurt the dollar, with some institutions cutting the use of U.S. Treasury bills as collateral for transactions in stocks and swaps.
LONDON, Oct 11 (Reuters) – The dollar traded near a two-week
peak versus the yen on Friday while growth-linked currencies
outperformed as signs of a breakthrough in the U.S. budget
impasse lifted investors’ appetite for risk.
Rates on U.S. bills maturing on Oct. 17 were off highs,
pricing in a retreat in the chances of a historic debt default
next week while the stock volatility index fell as global
equities rose. That led investors to pare positions in
currencies like the yen and Swiss franc used as safe havens by
investors in times of political and financial nerves.
LONDON, Oct 9 (Reuters) – The dollar rose on Wednesday on
news that President Barack Obama has tapped Federal Reserve Vice
Chairwoman Janet Yellen to head the U.S. central bank, which
lent some relief to markets still nervous about the budget
Analysts said that chances of a partial resolution to the
ongoing crisis also caused investors to refrain from betting
aggressively on dollar weakness.
LONDON (Reuters) – The dollar rose on Wednesday on market relief that President Barack Obama has tapped Federal Reserve Vice Chairwoman Janet Yellen to head the U.S. central bank, lending some certainty while the budget impasse ensues.
Although Yellen is known for her dovish stance, which should ideally be dollar-negative, strategists said the decision fuelled risk sentiment and helped the dollar gain, especially against safe-haven currencies like the yen and the Swiss franc.
LONDON (Reuters) – Sterling rose against a weaker dollar on Tuesday as robust data provided growing evidence of a recovery in Britain’s housing market while the ongoing U.S. fiscal debate weighed on the greenback.
The pound was up 0.1 percent at $1.6111. Traders said as long as sterling held above the October 4 low of $1.6006 it could target a nine-month high of $1.6260 hit on October 1.
LONDON, Oct 7 (Reuters) – The dollar traded near an
eight-month low against a basket of currencies, falling against
perceived safe havens like the yen and Swiss franc as a U.S.
budget deadlock showed no sign of breaking.
Republican House Speaker John Boehner said on Sunday there
was “no way” Republican lawmakers would agree to a measure to
raise the debt ceiling unless it includes conditions to rein in