DXY Extends Pullback

2026-02-09 13:19 By Andre Joaquim 1 min. read

The dollar index fell to 97 on Monday, trimming the rebound from the previous week on strength for G10 currencies and fresh concerns that global markets may pivot away from dollar-denominated assets.

Chinese regulators advised financial institutions to limit their exposure to US Treasury securities in a push against concentrations risks and the impact of uncertain economic policy from Washington.

The move echoed similar rhetoric from other large economies that are showing greater unease in exaggerating their exposure to US assets, including European pension funds that trimmed Treasury holdings after the White House's hawkish rhetoric on Greenland.

Traders were also cautious ahead of a key slate of US economic data due this week, including the employment report and CPI figures.

In the meantime, the Japanese yen gained after Prime Minister's Takaichi's landslide victory prompted expectations of forex intervention due to her loose fiscal policies.



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