The US dollar remained largely unchanged despite late stock market tumbles, with continued market turmoil dooming the carry trade to further drops.

The US Dollar saw a modest bounce on the day of trade, as relatively illiquid markets allowed a sigh of relief through the Monday New York open.

The US dollar continued on its overall downtrend, as continued improvements in risk appetite led the safe-haven currency lower against major counterparts.

The US dollar dropped against all major currencies except the Japanese Yen, as an ease in risk aversion led the forex carry trade higher on the day.

Forex markets sent the US dollar slightly lower on the day, as a sizeable drop in domestic Treasury yields increased the attractiveness of major foreign counterparts.

A modest carry trade rebound left the US dollar lower against higher-yielding forex counterparts, leaving scope for continued greenback declines through the coming week of trade.

The Dow Jones Industrial Average continued its recent rout as the Fed remained helpless through market turmoil, sending the Japanese Yen to its largest single-day gain since 1998.

The US Dollar rallied for the fourth trading day in five, as a continued Dow Jones Industrial Average rout led to a similar unwind of carry trade positioning.

The US dollar traded sharply lower against major counterparts, as a pronounced rebound in the global carry trade cut risk-sensitive dollar demand.

The US dollar continued yesterday’s strong reversal, trading considerably higher against most forex trading counterparts following the day’s FOMC interest rate announcement.