Investing.com - The dollar was more than 1% lower against the yen on Tuesday as mounting concerns over possible military action against Syria’s government fuelled investor demand for safe haven assets.
During U.S. morning trade, the dollar fell to session lows against the yen, with USD/JPY dropping 1.26% to 97.26.
Expectations for a military strike against Syria grew after U.S. Defense Secretary Chuck Hagel said American forces are "ready" to launch strikes if President Obama chooses to order an attack.
On Monday, U.S. Secretary of State John Kerry said there was “undeniable” proof that the Syrian government had used chemical weapons against civilians.
The dollar was also lower against the traditional safe haven Swiss franc, with USD/CHF down 0.47% to 0.9186.
Meanwhile, concerns over the timing of a reduction in Federal Reserve stimulus eased after data showed that U.S. consumer confidence rose more than expected in August, hitting the highest level since January 2008.
The Conference Board said its index of consumer confidence rose to 81.5 in August from an upwardly revised 81.0 in July. Analysts had expected the index to tick down to 79.0.
The dollar was lower against the euro, with EUR/USD rising 0.18% to 1.3393.
The single currency was boosted after a report showed that the closely watched Ifo index of German business climate rose to a 16-month high of 107.5 in August from 106.2 in July. Economists had expected the index to tick up to 107.0.
The Current Assessment Index rose to 112.0 in August from 110.1 in July, compared to expectations for an increase to 110.9.
The dollar was higher against the pound, with GBP/USD down 0.23% to 1.5539.
Elsewhere, the greenback was broadly stronger against its Australian, New Zealand and Canadian counterparts, with AUD/USD falling 0.70% to 0.8964, NZD/USD tumbling 0.80% to 0.7788 and USD/CAD inching up 0.03% to 1.0505.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.26% to 81.20.
During U.S. morning trade, the dollar fell to session lows against the yen, with USD/JPY dropping 1.26% to 97.26.
Expectations for a military strike against Syria grew after U.S. Defense Secretary Chuck Hagel said American forces are "ready" to launch strikes if President Obama chooses to order an attack.
On Monday, U.S. Secretary of State John Kerry said there was “undeniable” proof that the Syrian government had used chemical weapons against civilians.
The dollar was also lower against the traditional safe haven Swiss franc, with USD/CHF down 0.47% to 0.9186.
Meanwhile, concerns over the timing of a reduction in Federal Reserve stimulus eased after data showed that U.S. consumer confidence rose more than expected in August, hitting the highest level since January 2008.
The Conference Board said its index of consumer confidence rose to 81.5 in August from an upwardly revised 81.0 in July. Analysts had expected the index to tick down to 79.0.
The dollar was lower against the euro, with EUR/USD rising 0.18% to 1.3393.
The single currency was boosted after a report showed that the closely watched Ifo index of German business climate rose to a 16-month high of 107.5 in August from 106.2 in July. Economists had expected the index to tick up to 107.0.
The Current Assessment Index rose to 112.0 in August from 110.1 in July, compared to expectations for an increase to 110.9.
The dollar was higher against the pound, with GBP/USD down 0.23% to 1.5539.
Elsewhere, the greenback was broadly stronger against its Australian, New Zealand and Canadian counterparts, with AUD/USD falling 0.70% to 0.8964, NZD/USD tumbling 0.80% to 0.7788 and USD/CAD inching up 0.03% to 1.0505.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.26% to 81.20.