U.S. Dollar Declines after Fed Details Concerns

The dollar fell from almost a four-year high after minutes from the Federal Reserve’s last meeting showed officials are concerned that the global slowdown and a stronger currency pose risks to the U.S. economic outlook.

The greenback weakened for a third day as futures traders lowered bets the Fed will lift interest rates after the release of the minutes from the Sept. 16-17 meeting. South Africa’s rand rose as a gauge of emerging-market currencies erased a drop. Russia’s ruble declined amid data that showed the central bank sold $420 million of foreign currency in its third day of interventions this month. The yen fell.

“It kind of looks like the Fed will take any excuse not to normalize rates in the near term,” Lennon Sweeting, a San Francisco-based dealer at the broker and payment provider USForex Inc., said in a phone interview. “What we’re seeing is consolidation and probably a brief period of stability. Overall, the bull rally on the dollar is still intact.”


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