The U.S. dollar has remained steady near its highest level since November against a basket of currencies, as longer-dated U.S. yields continue to rise. The dollar index, which tracks the dollar against other major currencies, is on track for its 11th consecutive week of gains. The euro, which has been weakened by the strong dollar, is still close to its January low. However, a break past this level would take it to its lowest point this year. The Japanese yen has also been affected by the rise in oil prices and is close to its weakest level in 11 months.
Despite concerns over speculation, Japanese authorities may intervene if the yen goes beyond 150 yen per dollar. The pound and the Swiss franc are also under pressure, with the pound remaining near six-month lows. The U.S. economy has been more resilient compared to the European economy, contributing to the dollar’s strength. The Federal Reserve has cautioned on the possibility of more hikes, while economic data from the U.S. continues to defy expectations of an economic slowdown.
In conclusion, the U.S. dollar has remained near its highest level since November against a basket of currencies, driven by rising U.S. yields. The euro is still close to its January low and may fall further if it breaks past this level. The yen has also weakened due to a surge in oil prices, which may prompt intervention from Japanese authorities. The pound and the Swiss franc are also under pressure, with the pound at six-month lows. Overall, the strength of the U.S. economy and the possibility of more rate hikes has contributed to the strong dollar.