Despite long-dated US yields reaching their highest levels in nearly two decades, the Dollar Index experienced minimal movement. According to FX Street, the index shifted by just three hundredths of a point, remaining slightly above the 99.50 mark.
The session saw a narrow trading range of 17 pips, with the Dollar Index hovering below its 200-day Exponential Moving Average near 99.75. This subdued response comes after a fortnight of relatively muted volatility in the FX market.
For Japanese investors, the Dollar's limited reaction amid rising US yields underscores the cautious sentiment prevailing in currency markets, especially as global economic uncertainties continue to influence capital flows.