The dollar pushed higher on Monday amid weakness in the euro and yen, as traders digested political tensions in France and a rebound in Treasury yields.
The Bloomberg dollar index climbed as much as 0.5%, while the common currency and French bond futures slipped after far-right leader Marine Le Pen gave the strongest indication yet that she’s prepared to topple the government in Paris as soon as this week.
Treasuries dipped as traders looked ahead to US data that may help shape Federal Reserve policy and digested hawkish comments from the Bank of Japan.
The slew of global events gave the greenback further support, after the prospect of faster US inflation and trade tensions under Donald Trump had boosted the US currency in recent weeks.
Traders were once again reminded of Trump’s focus on his America-first agenda after the US president-elect told BRICS nations not to create a currency to rival the greenback and repeated threats to levy a 100% tariff.
Asian stocks rose, supported by signs of economic stabilization in China and a rally in tech shares.
