The US dollar remained weak during the past week but was not the weakest, outperforming the Great Britain pound that was even softer.
The US currency remained under pressure from concerns about the ruling stile of the new US president and his decisions. The cautious tone of the Federal Reserve policy statement did nothing to increase optimism for the dollar. And to top it all off, US non-farm payrolls came out disappointing with slower-than-expected wage growth, which overshadowed solid employment growth.
Brexit fears made the sterling perform even worse than the dollar. Additionally, the dovish tone of the central bank’s statement after the policy meeting meant that traders had even fewer reasons to buy the currency.
EUR/USD rose from 1.0717 to 1.0779, touching the low of 1.0620. USD/JPY tumbled 2% from 114.79 to 112.44. GBP/USD went down from 1.2561 to 1.2477.
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