The U.S.Dollar Exhange Rate: Dollar strengthens as U.S. Yields Increase.
cnbc.com Dollar strengthens as U.S. yields spike Reuters 4-5 minutes A businessman is seen holding out a stack of U.S. banknotes. The U.S. dollar rose against most major currencies on Friday, lifted by an increase in U.S. bond yields overnight, while the pound dropped to its lowest in over a week. Government bonds, and particularly U.S. Treasuries, have become the focal point of markets globally. Traders have moved aggressively to price in earlier monetary tightening than the Federal Reserve and other central banks have signalled. European stocks extended a global equity sell-off, with risk appetite souring as the surge in yields fomented inflation worries. Emerging-market and commodity-linked currencies continued to retreat Thursday. Cryptocurrencies stabilised after tumbling overnight. The dollar move is "a function of what's happening on the yields side," said Jeremy Stretch, head