European political storm triggers safe-haven demand, pushing the US dollar close to a new high in 2024

As the European political storm triggers safe-haven demand, the US dollar is approaching a new high in 2024. With the rise in US Treasury yields, investors are flocking to the world's reserve currency, and the US dollar's strength still has room to rise. Political uncertainty in France may support the US dollar. The US dollar has risen for four consecutive weeks, with traders closely watching the uncertainty that the US election may bring. Strategists at Morgan Stanley believe that the US dollar is surpassing US yields, but the US election will limit the weakness of the US dollar. The US dollar has appreciated against all G10 currencies this month