Yahoo Finance Dollar Dips In Muted Trade, Euro Gains Ground
Investing.com - The dollar ticked lower against a currency basket on Thursday as a cautiously optimistic mood in markets dampened safe haven demand, while the euro edged higher amid hopes for a resolution to the row over Italy’s budget.
The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, edged down to an overnight low of 96.44 and was at 96.47 by 03:22 AM ET (08:22 AM GMT).
The dollar had weakened slightly on Wednesday following reports that the Federal Reserve could pause its rate rise cycle as early as next spring. The Fed is expected to raise rates for a fourth time this year at its December meeting.
European markets opened slightly lower and Asian shares held up overnight after Wall Street’s rebound from steep losses earlier in the week. U.S. markets were to be closed on Thursday for the Thanksgiving holiday.
Market sentiment remained fragile amid growing concerns over a slowdown in the global economy and the ongoing trade conflict between the U.S. and China.
The dollar drifted lower against the yen, with USD/JPY changing hands at 112.96.
The euro was a touch higher, with EUR/USD gaining 0.16% to trade at 1.1402 amid hopes that the row between Italy’s government and the European Union over Rome’s 2019 budget, which is in breach of euro zone fiscal rules, can be resolved.
The pound was fractionally higher against the U.S. currency, with GBP/USD last at 1.2788. Meanwhile, EUR/GBP edged up 0.11% to 0.8918.
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