The US dollar is trading modestly lower on Tuesday as Federal Reserve Chair Jerome Powell testified in front of lawmakers. The greenback is also heading lower on mixed economic data that showed a tightening labor market but growing business optimism. Despite the greenback taking a breather, the buck is still enjoying a strong start to 2020.
The US dollar was generally weak today as risk appetite made investors seek riskier currencies with higher yield. For the same reason the greenback gained on safe currencies, like the Japanese yen and the Swiss franc.
The US dollar retreated against the euro on Wednesday after a fresh report revealed a weaker job market than what analysts had expected. The release also weighed on an index that tracks the greenback’s strength, pushing it to the lowest level in about two weeks.
The US dollar rose against the euro and the Japanese yen on Tuesday as employers in the United States looked for more workers than expected in July. However, the greenback was weaker against the British pound as strong inflation data in the United Kingdom supported the cable.
The US dollar touched its best level in eight days against the euro on Tuesday following a report that revealed the highest job openings in record in the United States. An index that tracks the strength of the greenback against other major currencies also rose today to reach its strongest level in two weeks.
