U.S. Dollar down as Debt Deadlock Continues

The dollar slipped on Monday and the yen gained on safe-haven demand, as U.S. lawmakers struggled to reach a deal before this week’s debt ceiling deadline, stoking concerns the United States may actually default on its debt obligations.

While negotiations in the U.S. Senate to bring the fiscal crisis to an end showed signs of progress on Sunday, failure to break the stalemate before Thursday, the deadline to raise the debt ceiling, would leave the world’s biggest economy unable to pay its bills in the coming weeks.

In late trading, the dollar was down less than 0.1 percent against a basket of currencies at 80.32.


Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.