Uncertainty Over Fed Hike Causes Dollar To Dip – 28 November, 2018

The dollar index extended its overnight losses on comments from the Federal Reserves Chairman Jerome Powell that the U.S. interest rates were below neutral. Against six major currencies, the dollar index dipped 0.54 percent, its steepest decline since the beginning of the month, and was last steady at 96.84 in early Asian trading. Investors took Powell’s remarks as a tip that the Fed would hold off hikes and that the cycle is nearing its end. Against the yen, the dollar dropped 0.15 percent to 113.52, while the euro last changed hands at $1.1368 after gaining 0.7 percent the previous session. The pound traded slightly lower at $1.2821.