The US dollar fell, while non-US currencies strengthened, with the euro and pound hitting new highs and Asian currencies appreciating one after another.
Recently, as the market's expectations for a Fed rate cut continued to rise, the US dollar kept falling. On Wednesday, the Bloomberg Dollar Index fell for the third consecutive day to its lowest level since March, with a decline of about 1.9% so far this month.
The weakness of the US dollar pushed the euro to its highest level of the year, reaching 1.1123 against the US dollar.
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The British pound also remained strong against the US dollar, reaching 1.3028, the highest level since July 2023.
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The Swiss franc also rose more than 1% against the US dollar, reaching a high of 0.8540 on that day.
In addition to the Japanese yen, Asian currencies such as the South Korean won, Thai baht, and Malaysian ringgit are also appreciating against the US dollar.
Vasileios Gkionakis, Head of European Economics and Strategy at Aviva Investors, said, &#34;With US growth slowing down while global growth remains relatively stable, this should lead to a weaker US dollar.&#34;
Furthermore, with the Jackson Hole Global Central Bankers Conference approaching, traders will carefully analyze Powell's speech on Friday to look for signs of whether the Fed will cut rates by 25 basis points or more in September. Prior to this, the preliminary benchmark employment data revision released by the Bureau of Labor Statistics on Wednesday may show that US job growth is not as strong as previously thought.
Skylar Montgomery Koning, a foreign exchange strategist at Barclays, said:
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&#34;The forex market continues to be excited about the possibility of dovish remarks from Jackson Hole, which will put pressure on the US dollar; this view was reinforced on Tuesday due to speculation of a significant downward revision in employment data.&#34;
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The slowdown in US growth while global growth remains relatively stable has led to a decline in the US dollar, further intensifying expectations of a rate cut by the Federal Reserve

- The US dollar weakened as non-US currencies surged, with the Euro and Pound hitting new highs, while Asian currencies also appreciated. 
- The Bloomberg Dollar Index fell for the third consecutive day to its lowest point since March, with a 1.9% decline this month due to growing expectations of a Fed rate cut. 
- Euro reached its yearly peak against the dollar at 1.1123, Pound soared to its highest level since July 2023 at 1.3028, and the Swiss Franc rose over 1% to 0.8540 against the dollar. Analysts anticipate a weaker dollar amidst slowing US growth and stable global growth, with a focus on Powell's speech for Fed rate cut signals.

The US dollar plummeted, global currencies staged a major comeback, with the Euro and the Pound hitting new highs for the year