The dollar appreciates against the euro and decreases in pairs with the yen and the pound sterling after the growth the day before, caused by demand for protective assets amid concerns about the prospects of the global economy.

The euro was down about 0.6% the day before after a speech by European Central Bank (ECB) head Christine Lagarde. Speaking at a forum in the Portuguese city of Sintra, Lagarde confirmed that the regulator intends to raise key interest rates by 25 basis points (bps) in July. At the same time, she emphasized that the ECB is ready for sharper policy tightening to curb inflation if needed.

Other Asian currencies may show negative dynamics on Wednesday, as the fall in U.S. stock indexes the day before may cause a new surge in demand for safe haven assets, said MUFG Bank analyst Sophia Nguyen.

The {{1691|The euro to the dollar was down 0.19% to $1.0499 as of 9:07 a.m. Moscow time, compared with $1.0519 at Tuesday’s market close.

The U.S. currency paired with the Japanese yen fell 0.21% to 135.86 yen per dollar against 136.14 yen the previous day.

The value of the British pound to the dollar rose by 0.09% – to $1.2195 from $1.2184.

The index calculated by ICE, which shows the dollar’s performance against six currencies (euro, Swiss franc, yen, Canadian dollar, pound sterling and Swedish krona), was stable during morning trading. The broader WSJ Dollar Index is losing about 0.03%.