The decline of the dollar drives the euro and the pound to their highest levels in weeks
The dollar fell this Thursday amid increasing expectations that the U.S. Federal Reserve will lower interest rates in the near future.
The dollar index, which measures the performance of the U.S. currency against a basket of six major currencies, reached its lowest level since April 22, settling at 98.284.
The dollar dropped by 0.44% against the Swiss franc to 0.8169, while the New Zealand dollar rose by 0.1% to 0.6033 USD. Additionally, the Chinese yuan gained 0.2% in domestic trading, reaching 7.1810 USD, whereas the Australian dollar fell by 0.12% to 0.6496 USD.
This decline helped propel the euro to its highest level in seven weeks early in the session, before trimming some gains to settle later at 1.1515 USD.
The pound also rose by 0.34%, reaching 1.3583 USD, while the Japanese yen strengthened by 0.4% to 143.95 per dollar.
The euro maintained its strong gains after surging the previous session against most other currencies. It stabilized against the Japanese yen at 165.77 yen, after hitting a peak of 166.42 yen earlier in trading, the highest since October.
The euro also rose by 0.33% against the Australian dollar, completing a 0.9% gain achieved in the prior session.
Notably, the eurozone’s single currency has increased by 11% since the start of this year, benefiting from the dollar’s decline and the influx of investor funds into European markets.
