NEW YORK: The dollar rallied from a four-week low in choppy trading on Thursday, enhancing the greenback's safe-haven appeal, as US stocks fell with market sentiment turning cautious as the United States hit another record high on new coronavirus cases.
The euro, meanwhile, fell from a one-month high versus the dollar, while commodity currencies, which tend to rise when there's higher risk appetite also slid against the greenback.
Some analysts said dollar sentiment turned higher after the US Supreme Court on Thursday ruled that a New York prosecutor can obtain President Donald Trump's financial records but prevented - at least for now - the Democratic-led House of Representatives from obtaining similar documents.
In late morning trading, the dollar index rose 0.2% to 96.668, after earlier falling to a four-week low of 96.233.
The euro dropped 0.3% to $1.1296, not that far from a one-month high around $1.1371 it hit earlier in the day even after German export data failed to meet analysts' expectations.
The dollar was flat against the yen at 107.255 yen and was up 0.2% versus the Swiss franc.
The Chinese yuan soared to a four-month high of 6.9808 in the offshore market and was last up 0.2% against the dollar at 6.9830.