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Dollar makes a soft start to 2026 after sharpest drop in 8 years
short by / on Friday, 2 January, 2026
The US dollar made a feeble start to 2026 on Friday after struggling against most currencies last year, while the yen steadied near 10-month lows as traders awaited economic data this month to gauge the path of interest rates. A narrowing US rate gap lifted most currencies against the dollar in 2025, except the yen.