[size=36]The dollar is falling to its lowest level in three weeks[/size]
Economy | 02:36 - 31/12/2019
Follow-up - Mawazine News
The dollar fell near its lowest level in three weeks against the yen in weak trading by the end of the year, Tuesday, at a time when investors were buying high-risk assets, driven by renewed optimism about global growth.
The US currency fell 0.2 percent against the Japanese currency to 108.64 yen, the weakest level since December 12 and is heading towards incurring losses for the third consecutive session.
The dollar index, which tracks the performance of the greenback versus a basket of competing currencies, fell slightly to 96.695.
On Friday, the index suffered the largest loss in one day since March, to shrink its gains during the year to about 0.5 percent, compared to a return of 4.4 percent in 2018. The index is currently heading towards achieving the lowest rise since 2013.
Encouraging news about a trade agreement between China and the United States boosted risk appetite in the currency markets overnight.
Reuters quoted White House trade adviser Peter Navarro as saying that the United States and China are likely to sign a one-stage trade agreement next week, but added that confirmation of that would be issued by President Donald Trump or the US trade representative.
And the Chinese yuan rose in foreign markets against the dollar to 6.9718, the highest level since December 13. He recorded in the last dealings 6.9743.
But the yuan is still headed for losses for the second year, as the trade dispute between the United States and China and the weak domestic economy overshadows the currency.
The yuan fell in domestic trading by about 1.5 percent a year after losing 5.3 percent in 2018.
Investors' risk appetite led the euro to a four and a half month high of $ 1.121 yesterday. The euro rose in the latest trading 0.1 percent to 1.1209 dollars.
Signs that the euro-zone economy may be stabilizing have pushed the single currency higher in recent weeks.
Against the US currency, the pound recorded the most recent trading of $ 1.3115, after rising 2.8 percent since the beginning of the year.
The British currency was hit by fears that Britain was heading towards a chaotic exit from the European Union by the end of 2020.