Dollar Surges Amid Global Cyber Outage Shaking Financial Markets

The dollar rose in jittery trading due to a global cyber outage affecting banks, airlines, and broadcasters, unsettling investors. Disruptions in London further amplified volatility. Expectations of a Federal Reserve rate cut and market shifts in tech stocks, yen, and Swiss franc influenced the currency dynamics.

The dollar experienced a rise in jittery trading on Friday due to a widespread cyber outage impacting banks, airlines, and broadcasters, causing investor unease globally. Although volatility in the currency market was contained, the disruptions left a noticeable impact.

As trading began in London, one of the world's key financial centres, signs of disruption emerged. The London Stock Exchange Group, which operates the London Stock Exchange, reported an outage affecting user access to its products. By midday, services had been restored, but the effects lingered.

Investor risk appetite has dwindled this week, particularly affecting technology stocks. Expectations for a September rate cut from the Federal Reserve further impacted the dollar, especially against lower-interest currencies like the yen and Swiss franc. This created opportunities for investors to leverage currencies with higher returns, impacting currency dynamics significantly.

(With inputs from agencies.)