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FOREX-U.S. dollar reaches six-week high on weaker euro, Swiss franc and yen

Published 01/02/2021, 21:40
Updated 01/02/2021, 21:42
© Reuters.
USD/MXN
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USD/SEK
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DX
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* Graphic: World FX rates https://tmsnrt.rs/2RBWI5E

By David Henry
NEW YORK, Feb 1 (Reuters) - The U.S. dollar reached a six-week high on
Monday on weakness in the euro, Swiss franc and Japanese yen amid views that the
United States has an advantage in growing its economy and vaccinating its
population against COVID-19.
The dollar index =USD was up 0.37% to 90.955 in late afternoon trading in
New York, just off of levels last seen on Dec. 21.
The Japanese yen JPY=D3 weakened, hovering around 105 to the U.S. dollar,
a level not seen since mid-November.
The euro EUR=EBS was off 0.57% to $1.2069. Against the Swiss franc
CHF=EBS the dollar was up 0.66% to 0.8967 to the dollar, its weakest level in
two months.
The moves came on evidence pointing toward a stronger recovery from the
coronavirus pandemic for the United States than for other countries.
The euro weakened after Germany reported that retail sales plunged by an
unexpected 9.6% in December after tighter lockdowns last year to curb the spread
of COVID-19 choked consumer spending in Europe's largest economy. The dollar may be more resilient in the near-term because "both growth and
vaccination favour the U.S.," said Kamal Sharma, director of G10 FX strategy at
BofA Merrill Lynch Global Research.
The dollar's gains on Monday came as crude oil and silver, both
dollar-denominated commodities, rose 2% and 7%, respectively. Oil was buoyed by falling U.S. crude inventories and rising fuel demand as
one of the worst snowstorms in years hit the U.S. Northeast.
Silver prices popped on speculation that retail traders were encouraging one
another to buy the metal after their orders last week drove up shares of video
game retailer GameStock Corp. GME.N
U.S.-based strategists at Wells Fargo Securities wrote, "We think USD
strength still has room to run." That's especially true against more volatile
securities, they added.
Mexico's peso MXN= also benefited from the rise in oil and silver, gaining
more than 1%. Besides being an oil producer, Mexico was the world's largest
silver producer in 2019, according to data from Statista. Currency bid prices at 3:08PM (2008 GMT)
Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid
Previous Change
Session
Dollar index =USD 90.9550 90.6280 +0.37% +1.15% +91.0150 +90.5010
Euro/Dollar EUR=EBS $1.2069 $1.2139 -0.57% -1.22% +$1.2145 +$1.2061
Dollar/Yen JPY=D3 104.9250 104.7250 +0.26% +1.66% +105.0300 +104.6550
Euro/Yen EURJPY= 126.62 127.07 -0.35% -0.24% +127.1200 +126.6100
Dollar/Swiss CHF=EBS 0.8967 0.8909 +0.66% +1.36% +0.8969 +0.8908
Sterling/Dollar GBP=D3 $1.3669 $1.3693 -0.17% +0.06% +$1.3757 +$1.3656
Dollar/Canadian CAD=D3 1.2839 1.2775 +0.51% +0.83% +1.2843 +1.2763
Aussie/Dollar AUD=D3 $0.7638 $0.7642 -0.07% -0.73% +$0.7662 +$0.7606
Euro/Swiss EURCHF= 1.0822 1.0808 +0.13% +0.14% +1.0827 +1.0803
Euro/Sterling EURGBP= 0.8827 0.8852 -0.28% -1.22% +0.8856 +0.8805
NZ NZD=D3 $0.7167 $0.7184 -0.24% -0.20% +$0.7202 +$0.7151
Dollar/Dollar
Dollar/Norway NOK=D3 8.5810 8.5650 +0.20% -0.06% +8.6195 +8.5590
Euro/Norway EURNOK= 10.3578 10.4099 -0.50% -1.04% +10.4330 +10.3520
Dollar/Sweden SEK= 8.4185 8.3589 +0.15% +2.71% +8.4283 +8.3263
Euro/Sweden EURSEK= 10.1605 10.1455 +0.15% +0.83% +10.1885 +10.1360

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World FX rates https://tmsnrt.rs/2RBWI5E
Dollar hits 2-week high https://tmsnrt.rs/39BR4Ms
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