10:49 AM EDT, 05/29/2024 (MT Newswires) -- The US dollar strengthened further to reach new highs for the week against major currencies like the euro, British pound, Japanese yen and Canadian dollar as some regional Federal Bank surveys brightened amid widespread risk aversion in global markets.

EUR/USD and GBP/USD fell to new session lows around 1.2712 and 1.0819, respectively, while USD/JPY and USD/CAD climbed to their best levels since Friday following the release of Fed surveys of the manufacturing and services industries.

Notably, the Richmond Fed Manufacturing Index rose back to zero in May from minus 7 in April when consensus had expected it to rise to minus 2, while the Richmond Fed Services Index rose to 3 from minus 13 previously.

The Dallas Fed Services Index fell further into the negative, however, coming in at minus 12.1 for May after reading at minus 10.6 in April.

The US dollar was quoted higher against all currencies in the G10 and G20 baskets with its increases building and broadening as both the Swiss franc and Japanese yen gave up earlier gains of their own following the Fed survey releases.

Dollar strength came against a backdrop of widespread weakness for equity markets around the world with those in Europe underperforming counterparts in the US, which each fell more than 0.5% on the day.