* Euro rises to 1-month high vs dollar
* Sterling reaches a fresh 3-week high
* Scandi currencies touch 1-month highs
* Graphic: World FX rates in 2019 http://tmsnrt.rs/2egbfVh
By Olga Cotaga
July 9 - The U.S. dollar fell against most currencies on
Thursday as a rally in riskier assets such as global equities
and commodities put a dent in safe-haven demand for the U.S.
currency.
China's yuan rose to a four-month high against the dollar,
extending recent gains as investors of all stripes increased
positions in Chinese stocks due to growing signs of a recovery
in the world's second-largest economy.
The euro was up 0.2% at $1.1355 EUR=EBS even after German
export data failed to meet analysts' expectations. The common currency jumped earlier to a one-month high of
$1.1371.
The British pound rose 0.3% to $1.2647 GBP=D3 , a
three-week high.
The Chinese yuan soared to a four-month high of 6.9808 in
the offshore market and was last up 0.2% against the dollar
CNH=EBS .
China's currency has been a star performer as investors
shrug off diplomatic tension between Washington and Beijing to
focus on China's improving economy and its attractive technology
sector.
The yuan has risen around 2.3% from a seven-month trough
against the dollar set on May 27.
"We've seen a more generalised view back to riskier assets.
The Chinese equity surge has been the poster child for risk-on
move across the last few sessions," said Jeremy Stretch, CIBC
Capital Markets' head of G10 FX strategy.
Chinese shares continued their recent rally, with the
blue-chip CSI300 index soaring to a five-year high on Thursday
.CSI300 . MKTS/GLOB
"Our bias for the currency quarter is 2% to 3% dollar
depreciations and we see no reason to change that," Stretch
said, adding that the U.S. currency should fall as the supply
from the Federal Reserve rises and the euro is poised for some
modest upside gains on the back of the expected euro zone
recovery fund.
Elsewhere in currencies, the Swedish and the Norwegian
crowns rose to a one-month high against the dollar of 9.15
SEK=D3 and 9.35 NOK=D3 respectively.
Highlighting the dollar's woes, the New Zealand dollar
NZD=D3 rose to $0.6590, the highest since late January.
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Yuan strengthens https://tmsnrt.rs/2W1vYzF
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