Greenback starts week on the defensive

On Monday, the evergreen buck started the week on the back foot, as a bout of risk aversion backed the Japanese yen, although the major American currency gained some support on renewed talk of a probable rate lift by the Federal Reserve already this month.

The perceived safe-haven Japanese yen derived benefits from a dip in global equities. The greenback slumped 0.2%, being worth 102.50 yen , while the common currency sank 0.1% to 115.21 yen.

Against the greenback, the euro edged up 0.1%, hitting $1.1238 .

A spate of Fed speakers kept expectations alive for a September rate lift, notwithstanding some recently downbeat economic data, such as a moderate soar in American nonfarm payrolls.

After on Friday, Eric Rosengren, Boston Federal Reserve President delivered a speech, odds on a rate lift in September soared to 30% probability from 24% before his comments.

By the way, Monday happens to be the final day on which American policymakers can speak in public before the so-called blackout period starts a week before the September 20-21 gathering. 

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