The dollar recouped some losses on Wednesday after weakening across the board in the previous session when the Federal Reserve’s emergency 50 basis point rate cut failed to ease fears over the global economic fallout from the spread of the coronavirus.
The Fed’s decision to cut rates came two weeks ahead of a regularly scheduled policy meeting. The last time the Fed made a rate cut between scheduled meetings was in October 2008 at the height of the global financial crisis.
The dollar fell to 106.85 yen overnight, its lowest in almost five months before pulling back to 107.41 yen by 03:55 AM ET (835 GMT).
The greenback bought 0.9550 Swiss franc, close to its weakest level in almost two years.
The euro last traded at 1.1178, close to a two-month high reached on Tuesday.
Against the British pound, the euro traded at 0.8740, near the highest in more than four months.
Against the dollar, sterling slid to 1.2792, giving back modest gains from the previous session.
Uncertainty about trade talks between Britain and the European Union is weighing on the pound, along with growing expectations for UK interest rate cuts.
Source: Investing.com