By Gina Lee Investing.com – The dollar was lower in Asia on Wednesday morning, with a pullback in US Treasury yields that undercut the momentum of the recent rally in the US currency and investors cautiously resumed betting on a continuous fall of the dollar. The one that tracks the dollar against a basket of other currencies fell 0.08% to 89.940 at 9:51 PM ET (2:51 AM GMT). The pair was down 0.15% to 103.59. The pair was down 0.08% to 0.7765, while the pair was up 0.19% to 0.7229. The pair was down 0.09% to 6.4549. The yuan also held up gains, with overseas trading at a one-week high at the start of the Asian session on Wednesday. The pair was up 0.13% at 1.3681. Bank of England Governor Andrew Bailey downplayed the notion of negative interest rates to boost growth, saying “there are a lot of problems” with them during his online speech to the Scottish Chambers of Commerce on Tuesday. Baily’s comments saw the dollar fall more than 1% against the pound. Benchmark 10-year Treasury yields fell nearly 7 basis points from a 10-month high seen on Tuesday, in turn quelling the dollar’s three-day rally and pushing it toward multi-year lows. However, the dollar remained above those levels early in the session, and the rally dampened some investors’ confidence in the consensus view that US trade and budget deficits will drive the dollar lower. . “The upward correction in the dollar index appears to have ended and the downtrend has resumed,” ANZ analysts said in a note. “But with US asset markets in the driver’s seat, equities setting the stage for risk appetite and US bonds leading the way in interest rate markets, it is worth asking whether we can take it for granted. the weakness of the dollar “, adds the note. The Democrats’ victory in the Georgia state Senate runoff election earlier this month sparked a selloff in the bond market that dramatically raised U.S. yields and in turn slowed the dollar’s slide. The victory also raised hopes for large sums of government loans to fund the large stimulus measures promised by President-elect Joe Biden when he and his administration take office on January 20. However, the strong demand seen in a 10-year $ 38 billion auction. Overnight and comments from Federal Reserve officials reiterating that monetary policy will continue to be supportive could cause the dollar to slide again. “The market has not given up on the short dollar, lower real yields, long reflation assets are still trading,” Pepperstone research chief Chris Weston told Reuters. Investors are now waiting for the US inflation figures for December, to be released later in the day. Additional data, including, and, expire Friday. Kansas City Fed Chair Esther George said Tuesday that she does not expect the Fed to react if inflation exceeds the central bank’s 2% target, adding that it would be in for a big surprise to make investors nervous.