Greenback stays broadly decrease, ISM report forward

Dollar holds onto losses ahead of U.S. data

Investing.com – The dollar remained broadly lower against the other major currencies on Monday, ahead of U.S. manufacturing data due later in the day, as concerns over growth in China and geopolitical tensions in the Middle East supported demand for the safe-haven yen and Swiss franc.

tumbled 0.95% to 119.08.

Data earlier showed that fell to 48.2 this month from 48.6 in December, confounding expectations for a rise to 48.9.

It was the lowest reading since September and was well below the 50-point level which separates expansion from contraction. The downbeat data added to concerns over slowdown in the world’s second biggest economy.

Markets were also jittery amid concerns over growing tensions in the Middle East after Saudi Arabia cut diplomatic ties with Iran over the weekend.

The move followed a weekend storming of the Saudi embassy in Tehran in response to the kingdom’s execution of a prominent Shiite cleric.

gained 0.41% to 1.0899.

Elsewhere, the dollar was lower against the pound and the Swiss franc, with adding 0.14% to 1.4758 and with shedding 0.27% to 0.9998

Markets shrugged off data showing that the fell to a three-month low of 51.9 from 52.5 in November, compared to forecasts for an uptick to 52.7.

The Australian and New Zealand dollars were weaker, with down 1.31% to 0.7192 and with losing 1.17% to 0.6752.

Meanwhile, climbed 0.61% to trade at 1.3921.

The , which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.34% at 98.45.

The index ended 2015 with gains of 8.96% bolstered by the diverging monetary policy stance between the Federal Reserve and other world central banks, particularly the European Central Bank and the Bank of Japan.

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Greenback stays broadly decrease, ISM report forward