U.S. Dollar Appreciates Amid Risk Aversion

(RTTNews) - The U.S. dollar climbed against its most major counterparts in the European session on Tuesday, as investors awaited earnings results of U.S. technology companies such as Microsoft, which are due later in the day.

First Republic Bank reported a decline in deposits for the first quarter and said it will reduce its workforce by 20-25% in the second quarter.

Banking major UBS reporting a more than 50 percent drop in earnings also dampened sentiment.

Weak earnings results renewed concerns about the banking sector and sparked risk aversion.

The Fed meets next week and markets expect the central bank to raise interest rates again and hold steady before slashing rates later this year.

The greenback climbed to 1.0994 against the euro and 0.8903 against the franc, off its early near 2-week lows of 1.1067 and 0.8860, respectively. The currency is seen finding resistance around 1.07 against the euro and 0.91 against the franc.

The greenback advanced to a 4-day high of 1.2397 against the pound, up from an early near 2-week low of 1.2507. The greenback may find resistance around the 1.20 level.

The greenback touched a fresh 2-week high of 0.6633 against the aussie, after falling to a 4-day low of 0.6705 in the Asian session. On the upside, 0.64 is likely seen as its next resistance level.

The greenback edged up to 0.6147 against the kiwi, from a 5-day low of 0.6187 seen in the Asian session. Next immediate resistance for the currency is seen around the 0.60 level.

The greenback approached 1.3617 against the loonie, its highest level since March 29. The greenback is likely to face resistance near the 1.38 level.

In contrast, the greenback weakened against the yen, hitting a 4-day low of 133.74. If the greenback slides again, it may find support around the 129.00 area.