Dollar hovers near two-week lows as traders doubt U.S. recovery

15.02.2021 - Petr Mazaylo
Dollar hovers near two-week lows as traders doubt U.S. recovery

The dollar started the week hovering near two-week troughs on Monday as investors questioned whether the U.S. pandemic recovery would be as fast as anticipated. 

The dollar index traded at 90.427, near last week’s low of 90.249, its highest level since Jan. 27. The index hit a two-month high of 91.6 on Feb. 5 on hopes that the U.S. economy would outpace other countries but has weakened amid low employment data.

The euro stood at $1.21215 following a 0.6% climb last week. The dollar gained 0.2% to 105.09 against the yen, recovering some of the 0.4% loss last week. 

Financial markets in Asia remained closed on Monday in celebration of Lunar New Year, while the United States observed Presidents Day.

The dollar has been going back and forth this year with some traders expecting it to strengthen as the U.S. economic recovery outperforms others, including that of Europe. 

Others see the U.S. recovery as a major driver in a global reflation that would boost risk assets at the greenback’s expense. 

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue

Help with deposit?