The dollar climbed Wednesday following comments from a Federal Reserve official who said it would be a mistake to say a U.S. recession is at hand.
The yen retreated across the board Tuesday as investors waded back into risky carry trades, sparked by gains in global equities and a rise in commodity prices.
The dollar edged upward against the euro and the pound Monday as markets pondered whether rising inflation in the euro zone and Britain may bring interest-rate changes later this week.
The dollar fell Friday after a December report showing the weakest jobs growth since August 2003 fueled fears of a recession and increased the likelihood of an aggressive rate cut by the Federal Reserve later this month.
The dollar was largely unchanged against the euro and yen Thursday, erasing overnight losses after a report showed enough U.S. private sector job growth to ease fears about Friday's payrolls data.
The dollar fell Wednesday, hitting a one-month low against the yen, after a gauge of the U.S. manufacturing sector last month tumbled to its lowest level since April 2003, increasing expectations for more Federal Reserve interest rate cuts.
The dollar rallied against the euro but slipped against the yen in the final trading day of 2007 Monday, though dealers resisted making big bets until volume increases after New Year's Day.
The dollar fell across the board Friday as data showing a 9 percent decline in sales of new U.S. homes last month heightened concern about the economy, putting the greenback on track for its worst week in more than a year.
The U.S. dollar slid against the euro in thin trade Wednesday while the yen traded near seven-week lows as investors continued to fund carry trades by borrowing the Japanese currency.
The dollar fell against the euro in thin trade Wednesday while the yen remained near seven-week lows as investors continued to fund carry trades by borrowing the low-yielding Japanese currency.
The yen dipped to a six-week low against the dollar Monday and fell against the euro as a pre-Christmas equities rally boosted investors' risk appetite.
The yen rose broadly on Thursday on worries that the worst from the U.S. subprime mortgage market fallout was yet to come after Bear Stearns recorded its first-ever quarterly loss.
Merrill Lynch says fund managers it surveyed in December are more pessimistic about corporate profits than they have been in nearly a decade. Seventy-four percent believe we are in a late cycle phase of business expansion while four percent believe the economy has already entered global recession, the firm says.
The dollar rose against the yen on Tuesday as a modest improvement in risk appetite encouraged investors to buy stocks, but it consolidated versus the euro after recent hefty gains.
The dollar rose against the euro Monday, boosted by year-end transactions and speculation of less aggressive Federal Reserve interest rate cuts after last week's strong U.S. inflation numbers.
The yen tumbled and high-yielding currencies posted sharp gains as carry trades regained popularity Wednesday after Federal Reserve and other major central banks announced coordinated measures to ease the money market's liquidity crunch.
The dollar rose slightly against the euro but fell against the yen on Tuesday after the Federal Reserve cut its benchmark interest rate by a quarter of a percentage point, less than what some had expected.
The dollar retreated against most major currencies Monday, reversing some recent strong gains ahead of an expected Federal Reserve interest rate cut this week.
The dollar rose against the yen Friday, as a slightly-above-forecast jobs report eased was seen reducing the chance of an aggressive interest rate cut.