The value of the U.S. dollar is nearly unchanged in afternoon trading on Tuesday after seeing considerable volatility earlier in the day.
Currently, the U.S. dollar index is up by less than a tenth of a percent at 92.08 after bouncing back and forth across the unchanged line in morning trading.
The greenback is trading at 109.06 yen compared to the 109.31 yen it fetched at the close of New York trading on Monday. Against the euro, the dollar is valued at $1.1862 compared to yesterday’s $1.1870.
The choppy trading comes as traders weigh optimism about the economic outlook against the recent surge in coronavirus cases around the world.
Recent data has shown some signs of slowing economic growth, but traders may see that as further proof the Federal Reserve will not begin scaling back stimulus anytime soon.
The Federal Reserve has repeatedly pledged to maintain its asset purchases at current levels until “substantial further progress” has been made toward its maximum employment and price stability goals.
Last week, Fed Chair Jerome Powell indicated the central bank is a “ways away” from altering policy, noting there is still “some ground to cover on the labor market side.”
Concerns about the rapid spread of the delta variant of the corona-virus continue to weigh on the minds of investors, however, as the new wave has led to renewed lock-downs in some parts of the world.
Data from the Centers for Disease Control and Prevention has shown a jump in new corona-virus cases in the U.S. in recent weeks, with the seven-day moving average of new cases reaching 72,790 last Friday, surpassing the peak seen last summer.
At the same time, the increase has also seeming led to more Americans getting vaccinated, with the CDC saying 70 percent of U.S. adults have now received at least one dose of a corona virus vaccine.