US dollar nears multi-month lows amid market volatility

The US dollar fell on Monday, nearing its lowest levels in several months amid financial market turbulence, following an announcement by the US Treasury Department that it plans to increase buybacks of long-term bonds.

This decline comes as traders await significant monetary policy statements from both the United States and Japan later this week, heightening anticipation in global currency markets.

In early trading, the Canadian dollar dropped 0.2% to 1.3798 against the US dollar. Meanwhile, the Australian and New Zealand dollars traded near three-month highs at 0.7171 and 0.5979 US dollars, respectively.

Euro climbs, pound and yuan steady

The euro comfortably surpassed the $1.16 mark, reaching $1.1685. At the same time, the Japanese yen remained strong at 159 to the dollar.

The British pound held steady at $1.3650 in early trading. The Chinese yuan approached a three-year high at 6.7222 to the dollar, after posting gains for the eighth consecutive week.