SYDNEY- Riskier currencies fought for a foothold on Monday against a dollar, buoyed by uncertainty around the Omicron variant and the expectation of more hot US inflation data putting upward pressure on interest rates.
Cryptocurrencies nursed big losses from a wild weekend that at one stage crushed bitcoin more than 20 percent. Bitcoin found support around $49,000 on Monday.
Also smarting from a big drop, the Antipodeans led an attempted bounce in early Asia trade as the mood was helped by preliminary observations from South Africa suggesting Omicron patients had relatively mild symptoms.
The Aussie rose 0.3 percent to $0.7016, scraping itself up from a 13-month low. The kiwi rose 0.1 percent to $0.6750.
The safe haven yen also eased 0.1 percent on Monday to 113.00 per dollar with the cautiously brighter mood, though analysts expect a bumpy ride ahead with trade most likely sensitive to Omicron news and US inflation data on Friday.
The euro was last stable at $1.1303 and sterling steadied at $1.3232.
“Perhaps we should be looking for volatility rather than a trend,” said analysts at ANZ Bank.
Volatility gauges for the battered Aussie and kiwi on Friday hit their highest in about eight months as two currencies sank.
Fairly little is known about Omicron, now found in about 1/3 of US states, with cases also detected in Europe, Asia and Southern Africa
