U.S. Dollar at Two Week Low after Fed Minutes

The dollar hit a two-week low versus a basket of currencies on Thursday, after minutes from the U.S. Federal Reserve’s last meeting prompted markets to push out expectations for the likely timing of an interest rate rise.

The dollar index fell 0.1 percent to 85.174. It slipped to 85.143 at one point, its lowest level since late September, pulling away from a four-year peak of 86.746 hit on Friday.  Against the yen, the dollar slipped 0.2 percent to 107.91 yen, nearing Wednesday’s three-week low of 107.75 yen and well away from a six-year high of 110.09 set last week.

“Last week it was a pretty clear-cut buy the dollar scenario, but this week…we’re seeing a lot of two-way action,” said Stephen Innes, senior trader for OANDA in Singapore.  Earlier on Thursday, there was some dollar buying interest from retail traders at levels above 108 yen, Innes said.

CNBC

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.