The dollar fell to its lowest level in nearly seven months against a basket of currencies on Monday amid sharp selling against the euro and the Japanese yen.
This came after economic data in the United States last week fueled fears of an economic recession and increased bets that the Federal Reserve would cut interest rates at a faster pace than expected.
The dollar index, which measures the performance of the US currency against six other currencies, fell 0.7% to 102.39 after falling to 102.15, its lowest level since January 12.
The euro rose 0.5 percent to $1.0968 after rising to $1.1009, its highest level since Jan. 2.
The dollar fell 2.3% against the yen to 143.13, near its lowest level this year.
Weaker-than-expected U.S. jobs data, along with weak earnings reports from major tech companies and growing concerns about the Chinese economy, led to a global sell-off in stocks, oil and high-yielding currencies over the past week as investors sought safety in cash.
The selling continued on Monday as US Treasury yields continued to decline, stock indices fell, and Bitcoin and the dollar fell.
The Swiss franc rose about 1% to 0.8499 per dollar. The franc was trading at its highest level in seven months.
Cryptocurrencies
In the cryptocurrency space, Bitcoin and Ether fell to their lowest levels in several months on Monday as investors shied away from riskier assets.
Bitcoin fell 14% in the latest trading to $54,078 and is heading towards its biggest daily decline since November 2022.
Ether also fell by about 21% to its lowest level since last January.
