{
  "id": 2071122,
  "title": "Asia FX steadies after sharp gains, dollar near 3-mth low as bond selloff cools",
  "url": "https://urgent.news/2026/08/20/asia-fx-steadies-after-sharp-gains-dollar-near-3-mth-low-as-bond",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-20T04:30:07.000Z",
  "source": {
    "name": "Investing.com",
    "slug": "investing-com",
    "url": "https://www.investing.com/news/forex-news/asia-fx-steadies-after-sharp-gains-dollar-near-3mth-low-as-bond-selloff-cools-4868665"
  },
  "original_language": "en",
  "account": "Asian currencies steadied on Thursday after dramatic gains the previous day, while the U.S. dollar experienced a decline as investors digested the Treasury Department's measures to alleviate volatility in the bond market driven by soaring long-term yields. The dollar index declined to its lowest level since late May, trading near 98.80 by 04:04 GMT, following a 0.8% drop on Wednesday.\n\nTo address the concerns, the U.S. Treasury announced the doubling of the size of some bond buyback operations to $4 billion from the original $2 billion per operation, targeting securities with maturities of ten years or more. This action contributed to a decrease in the U.S. 30-year Treasury yield from a 19-year peak of 5.337% to approximately 5.18%, and also lowered the 10-year yield. The bond market's relief lessened the dollar's upward pressure on long-term U.S. yields and disrupted trades profiting from the recent rate hike.\n\nThe Japanese yen's value against the U.S. dollar rose by 0.2%, reaching 158.43 yen after a 1% drop the day before. The yen's strength was further bolstered by expectations of additional tightening measures by the Bank of Japan, following joint efforts between Japan and the United States to stabilize the currency. The South Korean won's value against the U.S. dollar increased by 0.4% after falling 1.8% the previous day, and remained close to a one-year low. The Australian dollar's value against the U.S. dollar remained unchanged after gaining 0.5% the previous session. The Indian rupee's value against the U.S. dollar slightly decreased after five consecutive days of gains, as the three-month low for the dollar provided relief after the currency faced pressure from higher oil prices and elevated U.S. yields. The rupee's weakness persisted despite possible intervention from the Reserve Bank of India in the spot, futures, and offshore markets.\n\nChinese yuan's value against the U.S. dollar decreased by 0.1%, while the Singapore dollar remained stable. Investors also considered changing expectations for U.S. monetary policy. Minutes from the Federal Reserve's July meeting indicated that officials remained worried about inflation, with some policymakers considering additional rate hikes if inflation remained above target. Additionally, the uncertainty surrounding oil prices presented another source of concern, as global crude prices rose towards $92 a barrel due to fading hopes for a near-term resolution to the U.S.-Iran conflict.",
  "summary": null,
  "key_points": [
    "Asian currencies stabilize after sharp previous day gains",
    "U.S. dollar nears 3-month low as bond selloff cools",
    "Treasury doubles bond buybacks to $4 billion to ease volatility"
  ],
  "editors_take": "The US Treasury's measures to calm bond market volatility eases pressure on the dollar, allowing Asian currencies to steady after sharp gains, while investors weigh US monetary policy and oil price uncertainty.",
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}