Dollar Pulls Back as US Manufacturing Activity Contracts

The dollar index (DXY00) fell from a 3-week high on Monday and finished down by -0.16%.  The dollar retreated on Monday after the US Dec ISM manufacturing index unexpectedly contracted by the most in fourteen months.  Also, Monday’s rally in stocks curbed liquidity demand for the dollar. The dollar on Monday initially moved higher as the escalation of geopolitical risks in Venezuela boosted safe-haven demand for the dollar after the US captured Venezuelan President Maduro, and US President Trump said the ...