The dollar dropped against most Group-of-10 currencies as traders extended bets the Federal Reserve will cut interest rates this year and two-year Treasury yields reached the lowest since December 2017.
The Bloomberg dollar index was little changed after U.S. data showed the May ISM purchasing managers index dropped to the lowest since October 2016; among the G-10, the yen was one of the worst performers as stocks climbed, while the New Zealand dollar led gains amid stronger-than-forecast Chinese manufacturing data.
USD/JPY was up 0.1% to ~108.41 amid short-covering of EUR/JPY after U.S. shares opened higher; pair earlier dropped as much as 0.2% to 108.07, the lowest since Jan. 14.
EUR/USD was +0.3% at ~1.1207; euro-area manufacturing PMI in May was 47.7, matching the flash estimate, but down from April’s 47.9 reading.
Source : Bloomberg