{"id":269922,"date":"2026-01-06T08:16:06","date_gmt":"2026-01-06T08:16:06","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/269922\/"},"modified":"2026-01-06T08:16:06","modified_gmt":"2026-01-06T08:16:06","slug":"pressure-heaps-on-dollar-as-venezuela-fear-gives-way-to-optimism","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/269922\/","title":{"rendered":"Pressure heaps on dollar as Venezuela fear gives way to optimism"},"content":{"rendered":"<ul data-testid=\"Summary\" class=\"summary-module__summary__QjADA\">\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Demand for safe haven assets cools after geopolitical tensions<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Market attention turning to US macroeconomic data<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Fed&#8217;s Kashkari warns of risks to labour market, fuelling rate cut expectations<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">ISM Manufacturing PMI slides to 14-month low<\/li>\n<\/ul>\n<p>SINGAPORE, Jan 6 (Reuters) &#8211; The U.S. dollar retreated for a second day in Asian trading on Tuesday, as market jitters from U.S. military action in Venezuela eased and dovish comments from Fed officials spurred risk-taking on Wall Street.<\/p>\n<p>The dollar index , which measures its strength against a basket of six currencies, was last trading at 98.216, down 0.2% and extending losses after snapping a four-day winning streak on Monday.<\/p>\n<p data-testid=\"promo-box\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf article-body-module__promo-box__hVl8h\"> Sign up  <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/asia-pacific\/dollar-stabilises-venezuela-fears-subside-risk-on-mood-grows-2026-01-06\/undefined?location=article-paragraph&amp;redirectUrl=%2Fworld%2Fasia-pacific%2Fdollar-stabilises-venezuela-fears-subside-risk-on-mood-grows-2026-01-06%2F\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">here.<\/a><\/p>\n<p>&#8220;The market isn&#8217;t really concerned about what&#8217;s happening on the geopolitical front, at least in the near term,&#8221; said Rodrigo Catril, currency strategist at National Australia Bank in Sydney. That environment &#8220;lessens the appeal for safe havens and we&#8217;ve seen the U.S. dollar on the back foot,&#8221; he added.<\/p>\n<p>Financial markets are settling down after the shock U.S. capture of Venezuelan President Nicolas Maduro over the weekend sparked volatility in commodity markets. Maduro <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/americas\/venezuelas-maduro-appear-us-court-trump-says-further-strikes-possible-2026-01-05\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">pleaded<\/a> not guilty to narcotics charges in a Manhattan federal court on Monday.<\/p>\n<p>Against the yen , the U.S. dollar was last off 0.1% at 156.255 yen, with the greenback weakening slightly following an auction of 10-year Japanese government bonds, which drew demand in line with the average over the past year.<\/p>\n<p>The Australian dollar , which is sensitive to commodity prices, was last up 0.1% at a one-week high of $0.6724, nearing the highest in more than a year after copper prices hit a record. The New Zealand dollar was last up 0.2% at $0.5798.<\/p>\n<p>The greenback retreated after hitting the highest levels in a month during Monday&#8217;s trading session, as <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/us\/us-factory-sector-slumped-14-month-low-2025-ended-ism-says-2026-01-05\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">U.S. manufacturing activity<\/a> contracted more than expected in December and fell to a 14-month low.<\/p>\n<p>The move in the dollar &#8220;lacked follow-through and quickly stalled as attention returned to U.S. macro fundamentals,&#8221; analysts from DBS wrote in a research note.<\/p>\n<p>&#8220;The data undercut the USD\u2019s upside by keeping Fed easing expectations intact and underscoring that geopolitical risk alone was insufficient to sustain a stronger USD with supportive U.S. data.&#8221;<\/p>\n<p>The dollar was further pressured on Monday by dovish comments from Minneapolis Federal Reserve President Neel Kashkari, a voter on the central bank&#8217;s rate-setting committee this year, who told CNBC he sees a <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/business\/feds-kashkari-sees-risk-jobless-rate-could-pop-higher-2026-01-05\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">risk<\/a> that the jobless rate could &#8216;pop&#8217; higher.<\/p>\n<p>Expectations of policy easing edged up after his remarks, though Fed funds futures are still pricing an implied 82.8% probability that interest rates will remain on hold at the U.S. central bank&#8217;s next meeting on January 27 to 28, compared to an 83.4% chance on Friday, according to the CME Group&#8217;s FedWatch tool.<\/p>\n<p>Against the Chinese yuan trading offshore in Hong Kong , the U.S. dollar was last down 0.1% at 6.9769 yuan.<\/p>\n<p>The euro was last up 0.1% at $1.1737, while the British pound strengthened 0.2% to $1.3562.<\/p>\n<p>Bitcoin was last down 0.3% at $93,772.04, while ether slid 0.4% to $3,225.96.<\/p>\n<p data-testid=\"SignOff\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__extra_small__8Buss body-module__full_width__kCIGb body-module__extra_small_body__Bfz20 sign-off-module__text__LQAMP\">Reporting by Gregor Stuart Hunter; Editing by Jacqueline Wong and Kate Mayberry<\/p>\n<p data-testid=\"Body\" dir=\"ltr\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl 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Rights<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Demand for safe haven assets cools after geopolitical tensions Market attention turning to US macroeconomic data Fed&#8217;s Kashkari&hellip;\n","protected":false},"author":2,"featured_media":269923,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[174],"tags":[82519,2786,82703,79,84370,82543,82538,82545,88440,82546,83395,82535,82556,82549,82541,82550,82776,82553,83396,84460,82536,84041,83398,83397,96041,87973,83391,82530,83393,84146,82528,82531,88447,82777,82547,84461,82539,82557,82537,82540,82554,82552,82710,83394,82548,82551,85719,82702,83115,83116,179,18,55396,82520,84366,32356,87582,82516,19,84368,17,11203,83122,84440,82565,82524,29741,84142,82534,82533,107,7222,82518],"class_list":{"0":"post-269922","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-amers","9":"tag-asia","10":"tag-asxpac","11":"tag-business","12":"tag-cen","13":"tag-destabn","14":"tag-destabx","15":"tag-destafa","16":"tag-destauf","17":"tag-destbnx","18":"tag-destc","19":"tag-destcsa","20":"tag-destd","21":"tag-destdnp","22":"tag-deste","23":"tag-destfun","24":"tag-destg","25":"tag-destgns","26":"tag-destgro","27":"tag-destj","28":"tag-destlby","29":"tag-destm","30":"tag-destmetop","31":"tag-destmtl","32":"tag-destnat","33":"tag-destnoinbsm","34":"tag-desto","35":"tag-destocabsm","36":"tag-destoil","37":"tag-destortao","38":"tag-destoukbsm","39":"tag-destousbsm","40":"tag-destozabsm","41":"tag-destpge","42":"tag-destpsc","43":"tag-destptd","44":"tag-destrast","45":"tag-destrbn","46":"tag-destreulb","47":"tag-destrnp","48":"tag-destrws","49":"tag-destrwsa","50":"tag-destseabs","51":"tag-destsof","52":"tag-destu","53":"tag-destucdptest","54":"tag-destz","55":"tag-easia","56":"tag-eci","57":"tag-eco","58":"tag-economy","59":"tag-eire","60":"tag-emea","61":"tag-europ","62":"tag-ez","63":"tag-fin","64":"tag-frx","65":"tag-gb","66":"tag-ie","67":"tag-int","68":"tag-ireland","69":"tag-jp","70":"tag-mce","71":"tag-mktrep","72":"tag-mtpix","73":"tag-namer","74":"tag-pmi","75":"tag-rep","76":"tag-topcmb","77":"tag-topnws","78":"tag-us","79":"tag-usd","80":"tag-weu"},"share_on_mastodon":{"url":"","error":"Validation 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