* Graphic: World FX rates https://tmsnrt.rs/2RBWI5E
By Saikat Chatterjee
LONDON, Feb 16 (Reuters) - The U.S. dollar held at
three-week lows on Tuesday as traders unwound some of their
bullish bets on the U.S. economy's outlook after weak surveys
data last week.
U.S. consumer sentiment unexpectedly fell in early February
amid growing pessimism about the economy among households with
annual incomes below $75,000, according to a University of
Michigan survey. A separate Reuters survey showed slower jobs
growth in the coming months. and As a result, a Citigroup economic surprise index for the
United States .CESIUSD fell to its lowest level since early
January and was just shy of a eight month low, suggesting hopes
for a quick U.S. economic recovery may be stretched.
"Until the middle of last week, I was getting tons of
research on the U.S. economic rebound and the dollar strength
and some of those positions may be unwound," said Ulrich
Leuchtmann, head of FX and commodity research at Commerzbank.
Against a basket of its rivals =USD , the greenback
weakened 0.2% to 90.13, its lowest level since Jan. 26. It has
fallen 1.5% over the past eight trading sessions.
The latest dollar weakness was more noticeable as it was
against a broader backdrop of rising U.S. Treasury yields, a
factor that was previously supportive of the greenback.
The dollar selling mood also dragged on the safe-haven
Japanese yen JPY=EBS , which fell through its 200-day moving
average against the dollar and struck multi-year lows against
the euro, Aussie and Swiss franc.
Sterling GBP=D3 , extended gains to hit $1.3946, its
highest level since April 2018 as Britain rolls out its
vaccination programme to the next target groups. The currency
has gained almost 3% from early-February lows. GBP/
"Things right now reflect greater comfort with the story of
a synchronised global recovery, which is why we are seeing a
weaker dollar," said Bank of Singapore currency analyst Moh
Siong Sim.
The euro EUR=EBS rose 0.3% higher to $1.2166 to re-test
recent resistance at that level. Rising oil prices lifted the
Canadian dollar CAD=D3 and Norwegian crown NOK=D3 to
multi-week highs. O/R
The Chinese yuan CNH=EBS slipped 0.1% to 6.4132 per dollar
after the Financial Times reported Beijing was exploring curbs
on rare earth mineral exports in order to hurt the U.S. firms
that use them. The dollar traded near milestone lows against other
currencies. The risk-sensitive Australian dollar AUD=D3 hit a
one-month high of $0.7802 and the kiwi NZD=D3 made a five-week
peak of $0.7257. AUD/
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World FX rates https://tmsnrt.rs/2RBWI5E
Monthly FX performance Feb 2021 https://tmsnrt.rs/2OIibxj
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