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Dollar Continues To Exhibit Strength

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The U.S. dollar has gained in strength this week on safe haven appeal, amid rising worries about global growth and uncertainty about a U.S.-China trade deal ahead of the March 1 deadline.

The Dollar Index, currently up 0.13%, at 96.41, has gained more than 1.1% in the week, its biggest weekly gain in nearly six months.

Among the major currencies, the Canadian dollar strengthened against the greenback after data showed a bigger than expected increase in Canadian jobs in January. However, Canadian unemployment increased to 5.8% in January, from 4.8% a month earlier.

The Loonie is gaining about 0.3%, having strengthened to $1.3268, from previous close of $1.3308.

The Japanese Yen is trading at 109.78 a dollar, up marginally from previous close of 109.81, after having weakened to 109.90 earlier.

The greenback is gaining about 0.14% against the Euro, having edged up from previous close of $1.1341.

Against the British Pound too the greenback is gaining, rising about 0.12%.

Disappointing economic data out of Germany and the downward revision in Euro area growth forecasts by the European Commission and the Bank of England have dented investor sentiment which has resulted in global stock markets taking a beating.

The European Central Bank President Mario Draghi said last month that risks to the euro area growth tilted to the downside thanks to persistent uncertainties such as protectionism.

U.S. President Donald Trump has reportedly said that he won't be meeting Chinese President Xi Jinping before a March 1 deadline.

U.S. Treasury Secretary Steven Mnuchin and other U.S. officials are scheduled to travel to Beijing next week to continue trade negotiations. Presidents of the two nations had agreed to a 90-day tariff truce in early December 2018.

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