On the dollar side of the equation, the Federal Reserve is likely to raise interest rates in 2015, pushing up yields on Treasurys and widening the existing gap between 10-year debt in Germany and Spain, which yield 0.894% and 2.227%, respectively.
The dollar strength ahead of the this week's European Central Bank policy meet and US non-farm payrolls data has precious metals traders worried that gold could fall to lower levels in the next few sessions.
The Russian ruble has hit a record low against the US dollar on Friday, dropping to 37.10. The sharp devaluation comes amid rising concerns over the situation in Ukraine and investor fears that the West will unleash fresh sanctions against Russia.
At 0700 AEST on Monday, the currency was trading at 93.25 US cents, down from 93.56 cents on Friday. OM Financial senior client advisor Stuart Ive said stronger US manufacturing data helped lift the greenback on Friday night, offsetting weaker consumer ...
The dollar jumped against the euro and yen Wednesday after minutes from the most recent meeting of the Federal Open Market Committee showed the central bank was gradually shifting its stance in a more hawkish direction.
Above: Western Union's Nawaz Ali says early September will be key for the euro on the global FX markets. As we move into the new month we see the euro remains under pressure against both the dollar and British pound (GBP).