Dollar edged lower

By: Miguel A. Rodriguez

17:10, 21 February 2022

Risk sentiment was driven by potential Ukraine summit

The week's rough start for the US Dollar was fueled by the news of an “in principle” meeting between US president Joe Biden and his Russian counterpart, Vladimir Putin, regarding the situation on the Ukrainian border. The summit was proposed by the French leader, Emmanuel Macron.

According to the White House, Biden had accepted the meeting “in principle” but only “if an invasion hasn’t happened.” Kremlin was silent on the matter. The meeting could offer a possible diplomatic solution to one of the most significant security crises in Europe in decades.

Last week, the dollar benefited from the heightened tensions on the Ukrainian border, as Russian troops were massing and undertaking military exercises in neighboring Belarus. Ukrainian forces and Russia-backed rebels exchanged accusations of violence in the eastern part of the country. The Russian ruble, which has been sensitive to the prospect of war, strengthened, with USD/RUB trading 0.9% lower at 0.7217.

In early European trading, the Dollar Index, which tracks the greenback against a basket of six other currencies, traded 0.3% lower at 95.745.


Share this article

The information presented herein is prepared by and does not intend to constitute Investment Advice. The information herein is provided as a general marketing communication for information purposes only and as such it has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is not subject to any prohibition on dealing ahead of the dissemination of investment research.                                                                                                                            Users/readers should not rely solely on the information presented herewith and should do their own research/analysis by also reading the actual underlying research. The content herewith is generic and does not take into consideration individual personal circumstances, investment experience, or current financial situation.Therefore, Key Way Investments Ltd shall not accept any responsibility for any losses of traders due to the use and the content of the information presented herein. Past performance and forecasts are not reliable indicators of future results.