The U.S. dollar fell against all G-10 currencies, and strong corporate earnings reports boosted U.S. stocks; other currencies, including the British pound, were boosted by expectations of earlier interest rate hikes than previously expected; the New Zealand dollar and the Australian dollar led the rise, touching four each Monthly and three-month highs. The US 10-year Treasury bond yield hit 1.644%, the highest level in five months.

The dollar index fell 0.20% in late trading to 93.77. It had fallen to 93.50 earlier, the lowest since September 28. Data show that the US housing construction unexpectedly declined in September, and due to severe shortages of raw materials and labor, building permits fell to a one-year low, supporting expectations of a sharp slowdown in economic growth in the third quarter, and the dollar also fell.

Richmond Fed President Barkin said on Tuesday that the U.S. labor shortage may continue beyond the new crown epidemic and limit overall economic growth unless the U.S. introduces better education, health, and childcare policies to increase the number of people who are willing and able to work. . Scotiabank analysts said in a report that interest rate trends are difficult to explain the extent of the decline in the US dollar. On the contrary, long US dollar liquidation seems to have snowballed to wider liquidation, triggering an overall technical reversal of the US dollar.

The euro rose 0.20% against the US dollar to 1.1633, an earlier gain of 0.5%; the US dollar rose 0.05% against the yen to 114.38.

The pound rose 0.77% to 1.3834 against the US dollar in intraday trading. The currency market expects that the Bank of England will raise interest rates by 35 basis points before the end of this year.

The Australian dollar and the New Zealand dollar led the gains, supported by a higher renminbi and rising risk appetite; the New Zealand dollar rose 1.2% to 0.7172 against the US dollar, the largest increase since July; the Australian dollar rose 0.85% to 0.7474 against the US dollar.

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