Dollar rises as Delta concerns ease
The dollar climbed on Wednesday morning in Asia but hovered near a one-week low. Investors withdrew from the greenback as COVID-19 fears that muddled prospects in economic rebound faded.
The U.S. Dollar Index that measures the dollar against other major currencies nudged 0.16% higher to 93.045 by 11:12 PM ET (3:12 AM GMT).
The USD/JPY pair jumped 0.17% to 109.81.
The AUD/USD pair shed 0.20% to 0.7243, and the NZD/USD pair dropped 0.12% to 0.6940.
The USD/CNY pair gained 0.12% to 6.4787, while the GBP/USD pair slid 0.07% to 1.3717.
The U.S. currency has been performing strongly in recent weeks, marking a nine-and-a-half month high of 93.734 during the previous trading. Investors’ concern on the more infectious COVID-19 Delta variant and the U.S. Federal Reserve’s hints on earlier asset tapering this year drove these gains.
However, some investors believe it is less likely that the Fed will announce the timeline on asset tapering and interest rate hikes during the Jackson Hole symposium on Aug. 26 to 28.