A few days before Trump’s inauguration…this is what the dollar is witnessing

The dollar has stabilized, but is heading to end the week lower after a series of gains that lasted 6 weeks, at a time when investors await the inauguration of Donald Trump as President of the United States and the policies of his next administration.

The yen headed towards its strongest weekly performance in more than a month with growing expectations that the Bank of Japan will raise interest rates next week, which negatively affected the dollar.

The dollar has risen in the past few weeks on the back of rising Treasury bond yields, reflecting expectations that Trump’s policies may increase inflation even though the US economy is already strong. (Sky News)