US dollar loses as Fed officials strike dovish tone

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US dollar loses as Fed officials strike dovish tone
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NEW YORK: The US dollar lost in late trading on Tuesday, as dovish comments from US Federal Reserve officials pushed Treasury yields lower, reported X...

: The US dollar lost in late trading on Tuesday, as dovish comments from US Federal Reserve officials pushed Treasury yields lower, reported Xinhua.

Speaking at the annual convention for the American Bankers Association on Tuesday, Atlanta Federal Reserve President Raphael Bostic said that he thinks monetary policy is in the right place to bring inflation down to the Fed’s goal of 2 per cent. Later Tuesday, Fed Governor Christopher Waller reiterated the US central bank’s determination to bring inflation down to its 2 per cent target but did not comment on Fed interest rate hikes. “Price stability is a primary responsibility of the Federal Reserve, this is why we have taken forceful steps aimed at reducing inflation - and why we will stay on the job to achieve our objective.”

Traders put the chance of interest rates remaining unchanged in November and December at around 88 per cent and 74 per cent, respectively, according to CME’s FedWatch tool.

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