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US Dollar Dips as ISM PMI Falls; Yen Strengthens

1/6/2026

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Story summary
  • The US Dollar gave up early gains after the ISM Manufacturing PMI fell to 47.9 in December.
  • It supports expectations for two additional Federal Reserve rate cuts in 2026.
  • The Japanese Yen strengthened as risk-off sentiment rose and domestic bond yields climbed.
  • GBP/USD rose about 0.29% as the dollar weakened amid the ousting of Nicolas Maduro (Venezuelan President).
  • Markets remain cautious ahead of upcoming US data.