The dollar was down on Monday in the morning market of Asia. It saw a massive loss in the initial market trading. However, got steadied afterwards. Notably, the last it witnessed the steepest reduction in its value over a month ago. Moreover, it is the indication of investors gauging the gradual interest rate hike from the central bank.
The US dollar index edged down to 93.618 by 0.01 per cent at 2:44 AM GMT (10:44 PM ET). On the other hand, the USD/JPY pair inched up to 113.64 0.15 per cent.
The AUD/USD pair slipped to 0.7471 by 0.09 per cent. It is noticeable that Australia will be releasing its consumer price index on the coming Wednesday. The NZD/USD pair climbed down to 0.7150 by 0.04 per cent. Meanwhile, the markets of New Zealand were closed due to holidays.
The USD/CNY pair climbed up to 6.3899 by 0.09 per cent. Meanwhile, China is reeling under the latest COVID-19 outbreak. The GBP/USD, paid inched up to 1.3770 by 0.14 per cent. As per analysts and experts, there are almost sixty per cent chances that the Bank of England is going to raise the interest rates.
It may happen after its meeting in the following week.
On the other side, the greenback precisely softened against the yen. It is the result of the fact this is led by the remark from Jerome Powell, Chairman, US Federal Reserve on Friday that the tapering of assets would start soon.
The comments came after several investors speculated the interest rates hike in the second half of 2022.
Moreover, some traders and investors are being cautious regarding further gains in the market. They are waiting for the US data that includes core durable goods orders. The lot is going to get delivered by Wednesday.
The European Central Bank and the Bank of Japan will also offer their respective policy decision on coming Thursday.