The dollar fell for the second consecutive session on Friday, tracking the impact of declines in US Treasury yields, as investors cut their positions after the recent big gains, but the decline was considered temporary.
The 10-year US Treasury yield was 1.484 percent in recent trading, down four basis points.
On a weekly basis, the dollar index is heading for its biggest percentage gain since late August, as investors’ eyes are on the Federal Reserve’s cut in asset purchases in November and the prospects for a rate hike late next year.
In the mid-morning trading, the dollar index fell 0.3% to 94.047, with an increase of 0.8% since the beginning of the week, which is the largest weekly gain since late August.
Among other currencies, the euro settled at 1.1587 dollars, down about 1.1% weekly.
The yen rebounded against the dollar from a 19-month low hit overnight, with the dollar last down 0.3% to 110.98 yen.
The commodity-linked currencies rose against the dollar today.
The Australian dollar rose 0.5% to $0.7266, and fell 3.6% in the third quarter of the year, as prices of iron ore, Australia’s largest export, fell sharply.
The British pound was last up 0.6% at $1.3560, just above a 9-month low of $1.3516.
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