On Monday, the dollar reached a more than one-week high against a basket of currencies, while U.S stocks traded flat following their rally from the start of the year.
The dollar index which measures it against a basket of six currencies, gained 0.4 percent at 92.321. The euro dropped 0.48 to $1.197, following last week’s nearly four-month high of $1.2089. Investors took profits following the common currency’s recent rally.
“The euro got a little bit over its skies when it traded over $1.20,” said Brad Bechtel, managing director FX. “It’s a little been of profit taking and some healthy correction going on the euro’s side, which is driving some of the dollar trades,” Bechtel said.
The pan-European FTSEurofirst 300 index increased by 0.26 percent and MSCI’s gauge global stocks dipped 0.01 percent.
The S&P 500 was trading slightly lower mainly from the healthcare and financial stocks weighing it down, while the global index of equities changed slightly.
The Dow Jones Industrial Average dropped 31.76 points, or 0.13 percent, to 25,264.11, the S&P 500 fell 0.36 points, or 0.01 percent, to 2,742.79 and the Nasdaq Composite gained 13.87 points, or 0.19 percent, to 7,150.42.
This year takes the title for the strongest first four trading days of a year in over a decade for all three major U.S. stock indices. It was the Dow’s strongest start since 2003 while for the Nasdaq and S&P 500 it was the strongest in twelve years.
THE MORNING REPORT
Start your workday the right way with the news that matters most.
In the U.S. Treasury market, bond yields were reasonably lower following Friday’s data of an unexpected decrease in U.S hiring growth for December. Benchmark 10-year notes last dropped 3/32 in price to yield 2.4873 percent, from 2.476 percent on Friday.
Oil prices posted minimal gains. An insignificant drop in the amount of U.S. rigs drilling for new production maintained prices. U.S. crude increased 0.15 percent to $61.53 per barrel and Brent was up 0.09 percent on the day at $67.68.