Being the focus of investors ahead of the New York session is a speech by Federal Reserve (Fed) Chairman Jerome Powell that is likely to have an impact on the movement of the US dollar.
The dollar index is now back up, 0.5% higher against most major currencies.
The rise was in line with the rebound displayed by US 10 -year bond yields of over 1%, bringing the benchmark to around the 3.23%level.
Chairman Jerome Powell is scheduled to speak at 8.45pm (Malaysian time) at the Premier Conference on the International Role of the US Dollar in Washington.
Investors will scrutinize Powell’s statement on the central bank’s latest move to raise its interest rate to 1.75%.
Meanwhile, yen trading continued to weaken to a two -decade low after Japan’s central bank (BOJ) announced it would keep its interest rates unchanged.
Examining the movement of European currencies, the euro reduced slightly the gains gained from the depreciation of the USD by trading at around 1.0500 price in the European session.
The pound, on the other hand, still retained most of its gains following the decision to raise interest rates by the central bank of England (BOE).
On the other hand, the risk-sensitive currencies of the Aussie and New Zealand dollars depreciated slightly, showing them trading around 0.7000 and 0.63300 against the USD, respectively.
