Richly valued tech stocks have also felt the weight of rising U.S. yields as traders bet that elevated interest rates are here to stay for a while longer.
That has resulted in the dollar’s rampaging run in the past few weeks. Against a basket of currencies, the dollar is set to clock an eighth straight week of gains. The last time it had a similar run was in 2014.
A Reuters poll of forex strategists suggests that the dollar’s strength will be difficult to overcome for most major currencies by the end of the year.
Demand for the U.S. currency has made life difficult for most other currencies, with the onshore yuan breaching a 16-year low and the yen straddling the weaker side of the psychologically important 145 per dollar line, keeping traders alert for possible intervention.
And so with Europe waking up, investors are likely to have a volatile end to the week, with futures indicating a mixed open.
The pan-European STOXX 600 index has fallen for seven straight days, its worst string of losses since February 2018.
Investor focus will also be on debt-ridden French supermarket retailer Casino after the markets operator Euronext said the retailer will be excluded from Paris’ SBF-120 equity index of major companies.
/cloudfront-us-east-2.images.arcpublishing.com/reuters/J3OZYZ7CDFOD7GKQ5CY2RFUXBY.jpg "Apple and dollar roil markets 36")
