Berlin: The euro extended four-month highs to the US dollar today, following a surge in European bond yields on Germany’s proposed 500 billion euro ($539.85 billion) infrastructure fund and overhaul in borrowing limits.

According to Oman News Agency, the greenback wallowed near a four-month trough against a basket of major peers after US President Donald Trump’s administration gave a one-month reprieve on auto import levies to Canada and Mexico. The euro was flat at $1.0792 in the Asian morning, after earlier touching $1.0803 for the first time since 8 November 2024.

Sterling edged as high as $1.2906, a level last seen on 11 November 2024. The US dollar index was little changed at 104.31, after easing to 104.25 overnight for the first time since November 2024.

The dollar gained 0.2% against the safe-haven yen, however, to be last at 149.17 yen. It edged up 0.1% to 7.2438 yuan in offshore trading, but after falling 0.9% over the previous two sessions. The Aussie gained 0.1% to $0.6345, the highest since 26 February 2025.