The US dollar, considered a safe haven, rose on Monday, August 15, following a new set of disappointing data from China that heightened fears of a global recession, while the yuan declined after the People's Bank of China unexpectedly cut interest rates. Chinese industrial production, retail sales, and fixed asset investment came in below analysts' estimates on Monday, with the nascent recovery from strict COVID-19 lockdowns stalling. The dollar also received support from hawkish comments by Federal Reserve policymakers in response to early signs that inflation in the United States may have peaked.

Richmond Federal Reserve President Thomas Barkin told CNBC on Friday that he would like to see inflation move toward the Fed's 2% target "for some time" before pausing interest rate hikes.

The yuan price in onshore trading fell to a one-week low of 6.7696 per dollar, compared to the previous close at 6.7430, after the People's Bank of China unexpectedly cut borrowing costs on medium-term loans and a short-term liquidity tool for the second time this year.