Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

FOREX-Dollar falls against commodity currencies but holds gains versus yen

Published 03/08/2021, 08:50 AM
Updated 03/08/2021, 09:00 AM
© Reuters.

* Graphic: World FX rates https://tmsnrt.rs/2RBWI5E
* Commodity currencies gain early after Brent rises
* Dollar supported against yen and Swiss franc by yields
* U.S. stimulus, jobs data give sentiment a boost

By Stanley White
TOKYO, March 8 (Reuters) - The dollar fell against the
currencies of major commodity exporters on Monday as investors
increased bets on countries that will benefit from rising prices
for oil, metals, and other goods.
The dollar also fell slightly against the British pound and
the euro, but held at multi-month highs against the yen and the
Swiss franc because of rising Treasury yields.
Analysts said that sentiment for the dollar has improved
because of positive economic data and progress in passing a $1.9
trillion stimulus package, but that the greenback would continue
to struggle against commodity currencies amid strong
expectations for a rebound in global trade.
"We are seeing a significant divergence in the dollar," said
Yukio Ishizuki, foreign exchange strategist at Daiwa Securities.
"Commodity prices simply aren't coming down, so there's no
way the dollar can rise against the Aussie and kiwi. However,
the dollar will remain strong against the yen because yields are
the main driver."
The Australian dollar AUD=D3 rose 0.3% to $0.7702, while
the New Zealand dollar NZD=D3 gained 0.18% to reach $0.7177.
The antipodean currencies are both in demand because of their
links to the global commodities trade.
The U.S. currency fell 0.38% against the Norwegian crown
NOK= to 8.5283 and eased slightly to 1.2637 Canadian dollars
as traders bought the currencies of oil exporters.
Some traders said a jump in Brent crude futures LCOc1
above $70 a barrel for the first time in more than a year
triggered a flurry of bids for commodity currencies at the start
of Asian trading.
Against the euro EUR=D3 , the dollar eased slightly to
$1.1921, but held steady at $1.3844 against the British pound
GBP=D3 .
The dollar index =USD against a basket of six major
currencies stood at 91.895, not far from a three-month high
reached on Friday after data showed the U.S. economy created
more than twice as many jobs as expected in February.

Speculators cut their net short dollar positions in the
latest week to $27.80 billion, which is the smallest short
position since Dec. 15 and suggests that dollar bears are giving
up on betting against the greenback.
The dollar traded at 108.35 yen JPY=D3 , close to a
nine-month high. The dollar was also buoyant against the Swiss
franc CHF=D3 , trading near an eight-month high of 0.9319,
boosted by rising Treasury yields.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

========================================================
Currency bid prices at 050 GMT
Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid
Previous Change
Session
Euro/Dollar EUR=EBS !RIC !RIC !RIC !RIC !RIC !RIC
{EUR=EBS} is {EUR=EBS} {EUR=EBS} is {EUR=EBS} {EUR=EBS} {EUR=EBS}
invalid is invalid invalid% is is invalid is invalid
invalid%
Dollar/Yen JPY=D3 108.3320 108.2600 +0.08% +4.89% +108.4600 +108.3450
Euro/Yen EURJPY= 129.24 129.09 +0.12% +1.83% +129.3900 +129.1300
Dollar/Swiss CHF=EBS !RIC !RIC !RIC !RIC !RIC !RIC
{CHF=EBS} is {CHF=EBS} {CHF=EBS} is {CHF=EBS} {CHF=EBS} {CHF=EBS}
invalid is invalid invalid% is is invalid is invalid
invalid%
Sterling/Dollar GBP=D3 1.3856 1.3831 +0.19% +1.43% +1.3863 +1.3815
Dollar/Canadian CAD=D3 1.2627 1.2649 -0.11% -0.78% +1.2654 +1.2624
Aussie/Dollar AUD=D3 0.7711 0.7680 +0.42% +0.25% +0.7721 +0.7688
NZ NZD=D3 0.7185 0.7165 +0.18% -0.04% +0.7189 +0.7167
Dollar/Dollar


All spots FX=
Tokyo spots AFX=
Europe spots EFX=
Volatilities FXVOL=
Tokyo Forex market info from BOJ TKYFX

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
World FX rates https://tmsnrt.rs/2RBWI5E
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.