Dollar Edges Up Amid Sanctions Uncertainty, Tariff-Weakened Loonie
The US dollar edged up on Monday, reversing its third weekly decline in four. The greenback had fallen to three-month lows after the US Treasury announced plans to buy back more long-dated bonds.
Details of sanctions on Iran were still awaited, but markets were looking for guidance from Secretary Scott Bessent's press conference at 1700 GMT. Bessent has threatened 'the toughest sanctions in history' on Iran, with some wondering whether China will be targeted.
The dollar index rose 0.11% to 98.94, while the euro fell 0.07% to $1.1671. The Canadian dollar weakened 0.41% against the greenback after Washington imposed 50% tariffs on Canadian goods.
Bitcoin gained 1.67% to $78,696.12 after its largest weekly gain in nearly three and a half years. Some market participants are eyeing Federal Reserve Chairman Kevin Warsh's speech at Jackson Hole, Wyoming, this Friday for guidance on US interest rates.