The US dollar is rising against virtually every peer as fallout from the deepening conflict in Ukraine supercharges demand for the world’s reserve currency. Treasuries also rallied.
The Norwegian krone and Swedish krona tumbled more than 2%, the worst performers among the Group-of-10 currencies. The risk-off move saw S&P 500 futures drop almost 3%, while traders braced for contagion in emerging markets by selling every developing currency.
“USD is king, offering liquidity and safe haven attributes,” said Rodrigo Catril, a currency strategist at National Australia Bank Ltd. in Sydney. “When trouble hits the road, you need to look for cover.”