The U.S. dollar showed a slump on Wednesday while the Chinese Yuan advanced as investors relieved a bit amid eased Covid-19 restrictions in China.

Major cities announced loosened Covid curbs during the last weekend which gave a glimmer of hope that China may drop soon its zero-Covid policy as a response to earlier protests.

The dollar index dropped 0.2% to 104.350 post dipping at 104.062, hitting its lowest level since June.

The dollar saw a big retreat during November as it dropped by 5%, its lowest level since 2010, as investors were awaiting Fed to ease their rates hikes after hiking it by 75 bp for four times in a row.

EUR/USD edged up by 0.2% at 1.0558, which hit earlier its highest level in 5 months at 1.05835, pre the release of November’s PMIs figures and the retail sales for the Eurozone.

GBP/USD advanced by 0.1% at 1.2301 drifting away from the highest level of the day at 1.2345, which was considered the highest since June.

USD/JPY climbed by 0.7% at 135.21.