Dollar Gives Back Its Past Week Gains

The dollar retreats against major currencies, specially the battered yen. The DXY index falls 0.7% to 108.9, the lowest since last week. The yen is at 142.33 per dollar and one euro buys $1.00565. The weakening of the greenback is likely to be temporary, Spartan’s Peter Cardillo tells WSJ. “I think it [is due to] an overbought situation,” he says, noting that “the yen is in a big rally after losing loftily in the past week.” The USD is “a temporary correction and not the start of a peak downward trend,” he says.