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ASIAN currencies, including the peso, are expected to remain under pressure in the near term as the dollar stays firm, supported by geopolitical tensions and a cautious stance from the US Federal Reserve, MUFG said. “For Asian currencies, we expect a cautious start to the week, amid a pickup in geopolitical risks that could keep USD strength in play in the near term,” the Japanese financial group said in a market note.MUFG said geopolitical risks had intensified, encouraging investors to stay defensive and favor the dollar. These include worsening protests...

The euro is the world’s second most-used currency, accounting for 20% of global foreign exchange reserves, compared with 58% for the US dollar.Harbour Asset Management fixed income and currency strategist, Hamish Pepper, said the greenback was losing favour, but only at the margin.“The set-up to this weakness in the US dollar was one where pretty much everybody acknowledged that it was an expensive, or overvalued, currency,” Pepper said.AdvertisementAdvertise with NZME.“It’s been supported by this exceptional US economy, so that was the story.“All of a sudden we’ve had a couple of...