The dollar fell on Thursday as investors flocked to risky assets following expectations of a slowdown in the Federal Reserve’s rate hike.
Upcoming minutes of the US central bank’s Monetary Policy Committee meeting, held Nov. 1-2, revealed officials are very confident they can now take baby steps toward rate hikes. of interest.
The dollar index, which measures the performance of the US currency against a basket of six major currencies, fell 0.14% to 105.75, after falling 1% in evening.
The US central bank raised its key interest rate by 0.75 percentage point this month for the fourth consecutive time in a bid to curb rising inflation.
But weaker-than-expected US consumer price data fueled hopes for a more moderate pace of rate hikes. As a result, the dollar index fell by 5.1% in November, going for the worst performance monthly for the last 12 years.
The Japanese yen was one of the top-performing major currencies performance against the dollar, rising by 0.5% to 138.88.
The euro rose 0.39% to 1.0435 dollars, while the British pound rose 0.43% to 1.2090 dollars in recent trading. Sterling jumped 1.4% in the evening after preliminary data on UK economic activity beat expectations, although still showing contraction.
The Australian dollar was up 0.25% to $0.675, while the New Zealand dollar was up 0.17% to $0.6255.
The US markets are closed today, Thursday, due to the Thanksgiving holiday.
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