Posted On: September 18, 2012
The world's reserve currency gained on Tuesday, marking a second consecutive day of gains as banking issues plagued China and Europe, according to
The Dollar Index, a gauge of the U.S. dollar's performance against six competing currencies, has fallen for four consecutive weeks. The metric last week fell to its lowest rate since April, which might prompt some investors and traders to capitalize on profits regarding trades against the monetary unit.
"Anti-western unrest in the Middle East and now anti-Japanese protests in China are grabbing the headlines and providing investors with an excuse to turn down the heat beneath their buying plans," chief economic strategist Andrew Wilkinson with Miller Tabak told MarketWatch. "The dollar continues to a nascent recovery."
China and Japan feuding over territory also boosted the U.S. dollar.
The Wall Street Journal reports
the two nations are fighting over a small group of islands and the governments of both countries might lack the capacities to reach a compromise. The disagreement comes as China makes its change of leadership, which occurs once every decade.
Category: Industry News
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