Currency Buzz: Dollar Surpasses 99 Mark On Safe Haven Demand

28 Mar 2022 , 01:52 PM

The US dollar traded higher on Monday due to renewed demand for the safe haven currency amid rising risk aversion in the wake of rising cases of Covid-19 in China. The situation of Lockdown in China has underpinned the risk-aversion theme and investors are shifting funds to the safe-haven assets. Besides, Fed policymakers aggression towards faster policy tightening and the talks over the balance sheet normalization also pushed treasury yields higher dragging the dollar higher. US 10-year benchmark yields were hovering off early day highs at 2.5%. Meanwhile, the dollar index, which tracks the greenback against a basket of six other currencies, traded higher at 99.29. Meanwhile, investors look forward to the monthly jobs report, PCE inflation and consumer confidence data in the US to guide the outlook for monetary policy.

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