Forex
Dollar at Record High Amid Global Bond Rout
The US dollar hit a 17-month high on Friday, fueled by a global bond rout that pushed borrowing costs to multi-decade highs amid inflation fears.
Bond yields globally surged to record levels, with the benchmark US 10-year Treasury reaching 5.344% on Thursday, its highest since 2002.
The euro dropped to a 17-month low of $1.1237, weighed down by concerns over France's fiscal health and stagnant growth in Europe.
Charu Chanana, chief investment strategist at Saxo, said investors are grappling with the uncomfortable combination of sticky inflation, heavy government borrowing, and large bond supply.
The dollar index, which tracks the US currency against six rivals, rose to 102.08, its third straight weekly gain and a move last seen in May 2025.