Dollar Weakens as Easing Greenland Tensions Ripple Through FX

The dollar traded weaker Thursday while higher-risk currencies outperformed after a dial-back in US threats about acquiring Greenland calmed global markets.

The Norwegian krone and Australian dollar, which tend to move in line with shifts in risk appetite, both gained about 1% against the greenback and were the top performers among major currencies on the day. Gauges of volatility eased and US Treasuries extended declines after a deep selloff in recent days.