© Reuters. U.S. Dollar banknotes are seen in this illustration taken July 17,2022 REUTERS/Dado Ruvic/Illustration/file image
By Tom Westbrook and Ankur Banerjee
SINGAPORE (Reuters) – The dollar nursed losses versus Asian currencies on Thursday, after softer-than-expected international financial information muddied the interest rate outlook and pressed down U.S. yields ahead of the Federal Reserve’s Jackson Hole seminar.
The Australian dollar, which hadactually been taking a damaging on indications of China’s downturn and strength in the U.S., leapt 0.9% on Wednesday after U.S. production and services PMIs missedouton expectations.
It held those gains on Thursday, as did the New Zealand dollar and, for the most part, the Japanese yen and emerging market currencies in Asia.
“PMI information recommends that the outlook is not as fantastic as one would hope and that may recommend some care on the part of established market main banks in terms of more tighteningup,” stated Bank of Singapore currency strategist Moh Siong Sim.
“It’s absolutely excellent news for the dangerous properties and bad news for the dollar.”
U.S. company activity development was its weakest giventhat