Dollar Supported by a Weak Yen and Strength in US Consumer Confidence

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the dollar.Gains in the dollar were muted on Tuesday due to the strength of the yuan, which rallied to a 2.75-year high against the dollar.   Also, US trade uncertainty may spur foreign investors to dump dollar assets as President Trump's 10% global tariffs went into effect on Tuesday.Dollar Rises on Yen Weakness and Solid US Economic NewsOur exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today!The US Dec S&P composite-20 home price index rose +0.47% m/m and +1.38% y/y, stronger than expectations of +0.30% m/m and +1.30% y/y.The Conference Board US Feb consumer confidence index rose by +2.2 to 91.2, stronger than expectations of 87.1.The US Feb Richmond Fed manufacturing survey of current conditions unexpectedly fell -4 to -10, weaker than expectations of an increase to -5.Chicago Fed President Austan Goolsbee said, "I remain optimistic that there can be more rate cuts this year, but that hinges on seeing actual progress on inflation that shows we are on a path back to 2%."Swaps markets are discounting the odds at 2% for a -25 bp rate cut at the next policy meeting on March 17-18.The dollar continues to see underlying weakness as the FOMC is expected to cut interest rates by about -50 bp in 2026, while the BOJ is expected to raise rates by another +25 bp in 2026, and the ECB is expected to leave rates unchanged in 2026.EUR/USD (^EURUSD) on Tuesday fell by -0.07%.  The euro was under pressure on Tuesday from a stronger dollar.  Also, Tuesday's economic news showing that Eurozone Jan new car registrations fell by the most in seven months was negative for the euro.  In addition, lower Eurozone government bond yields have weakened the euro's interest rate differentials after the 10-year German bund yield fell to a 2.75-month low on Tuesday at 2.696%.Eurozone Jan new-car registrations fell -3.9% y/y to 800,000, the largest decline in seven months.Swaps are discounting a 2% chance of a -25 bp rate cut by the ECB at its next policy meeting on March 19.USD/JPY (^USDJPY) on Tuesday rose by +0.76%.  The yen tumbled to a 2-week low against the dollar on Tuesday after the Mainichi newspaper reported that Japanese Prime Minister Sanae Takaichi expressed apprehension about further interest rate hikes during a meeting with BOJ Governor Kazuo Ueda.  Higher T-notes on Tuesday were also weighing on the yen.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P Futures6,959.00 -0.75 (-0.01%)Dow Futures49,448.00 -86.00 (-0.17%)Nasdaq Futures25,385.25 +3.25 (+0.01%)Russell 2000 Futures2,672.20 +4.50 (+0.17%)VIX18.03 +0.10 (+0.56%)Gold5,203.90 -22.30 (-0.43%)Trending tickersNVDA NVIDIA Corporation 195.56 +2.71 (+1.41%)BTC-USD Bitcoin USD 68,016.98 +2,822.42 (+4.33%)IONQ IonQ, Inc. 33.59 +1.97 (+6.23%)CRM Salesforce, Inc. 191.75 +6.33 (+3.41%)TTD The Trade Desk, Inc. 25.16 +0.22 (+0.88%)PortfolioSign in to access your portfolioSign inTop gainersYOU Clear Secure, Inc. 46.51 +13.04 (+38.96%)CRCL Circle Internet Group 83.14 +21.77 (+35.47%)CAVA CAVA Group, Inc. 85.67 +17.87 (+26.36%)CCC CCC Intelligent Solutions Holdings Inc. 6.34 +1.28 (+25.30%)ECG Everus Construction Group, Inc. 130.10 +25.89 (+24.84%)Top losersIBRX ImmunityBio, Inc. 9.54 -2.01 (-17.40%)LUNR Intuitive Machines, Inc. 15.89 -3.01 (-15.93%)DEO Diageo plc 86.15 -15.99 (-15.66%)GDDY GoDaddy Inc. 79.12 -13.18 (-14.28%)FSLR First Solar, Inc. 210.12 -33.09 (-13.61%)Most activeNVDA NVIDIA Corporation 195.56 +2.71 (+1.41%)PLUG Plug Power Inc. 1.9100 0.0000 (0.00%)IBRX ImmunityBio, Inc. 9.54 -2.01 (-17.40%)INTC Intel Corporation 46.88 +0.76 (+1.65%)ONDS Ondas Inc. 10.30 -0.10 (-0.96%)Top economic eventsEarnings eventsMy earnings eventsEarnings events