On Friday, the dollar fell more than 1% against the euro and yen as weak Chinese manufacturing data increased concerns over a slowdown in global economic growth, and underlined fears that the Federal Reserve may postpone interest rates rise.
Financial markets got confused when China devalued the Yuan on August 11, triggering sells in stocks, commodities and emerging markets assets.
The EUR/USD jumped by 1.28% to 1.1383, and finished the week with a growth of 2.55%, the highest weekly rise since late April.
The single currency gained additional momentum after data showed that the growth of private sector of the Eurozone unexpectedly accelerated this month.
USD/JPY pair fell on Friday by 1.12% to 122.03, showing a maximum-session decline in the past six weeks.
The USD index, which tracks the US currency against a basket of six other major currencies, went down 0.97% to a five-week low at 94.84.
Here are the most important financial events for the next week.
Monday, August 24
The Atlanta Fed President, Dennis Lockhart, will give a speech and the market will be closely watching.
Tuesday, August 25
New Zealand is to publish data on inflation expectations.
Switzerland is to publish data on the level of employment.
In the Eurozone, the IFO research institute will publish report on business climate in Germany.
US will publish data on private sector consumer confidence and home sales report on the primary real estate market.
Wednesday, August 26
New Zealand is to publish data on its trade balance.
The Governor of Australian Reserve Bank, Glenn Stevens, will speak at an event in Sydney.
US will publish data on orders for durable goods.
Thursday, August 27th
Australia will report on new private investment.
US will release revised data on economic growth in the second quarter, as well as a weekly report on initial claims for unemployment insurance and pending sales in the housing market.
Friday, August 28
Japan is to release data on household spending, inflation and retail sales.
In the Eurozone, Germany and Spain will publish preliminary data on consumer price inflation.
UK is to release revised data on economic growth in the second quarter.
US will complete the week with the publication of data on the balance of trade in goods, personal income and spending, as well as the release of the revised data on consumer sentiment.