CANBERA (dpa-AFX) - The U.S. dollar was lower against its major rivals in the European session on Wednesday, amid a pullback in treasury yields and a rally in European shares on growth hopes.
The benchmark yield on the 10-year treasury note fell to 1.92 percent.
All eyes are on Thursday's inflation data, which is expected to rise by 7.3 percent on an annual basis in January.
Geopolitical tensions eased after French President Emmanuel Macron said that he got an assurance from Russian President Vladimir Putin there would be no escalation of crisis near Ukraine's borders.
San Francisco Fed President Mary Daly told CNN that inflation could get worse before going to get better.
Daly added that the Fed is unlikely to be overly aggressive on rate increases.
The greenback weakened to a 5-day low of 1.3589 against the pound, after climbing to 1.3535 at 5 pm ET. The greenback is likely to face support around the 1.37 region, if it falls again.
The greenback retreated from its previous highs of 0.9255 against the franc and 1.1403 against the euro, edging down to 0.9228 and 1.1445, respectively. The dollar is seen finding support around 0.90 against the franc and 1.16 against the euro.
The greenback was down at 1.2682 against the loonie. Against the yen, it was trading at 115.41, off its Asian session's nearly a 2-week high of 115.68. The greenback may challenge support around 1.25 against the loonie and 112.00 against the yen.
The greenback depreciated to 2-week lows of 0.7180 against the aussie and 0.6690 against the kiwi, down from its prior highs of 0.7142 and 0.6641, respectively. The next immediate support for the greenback is seen around 0.74 against the aussie and 0.68 against the kiwi.
U.S. wholesale inventories for December are scheduled for release in the New York session.
Copyright(c) 2022 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2022 AFX News