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Asian Currencies Rise as US Dollar Weakens Amid Government Shutdown Risks
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Asian currencies gained ground on Monday while the US dollar slipped as investors turned cautious ahead of a looming deadline that could trigger a partial U.S. government shutdown.
Market focus also remained on key monetary policy decisions this week from the Reserve Bank of Australia (RBA) and the Reserve Bank of India (RBI).
The US Dollar Index, which tracks the greenback against a basket of major peers, fell 0.2% in early Asian trade.
Meanwhile, the Australian dollar climbed 0.3% ahead of Tuesday’s RBA meeting, where rates are widely expected to remain unchanged at 3.6%.
With U.S. political risks and central bank outcomes in focus, global markets are bracing for heightened volatility in the week ahead.