, the majority of traders believe it raised borrowing costs for the final time this cycle Wednesday, when it brought in a 25-basis-point hike.
When interest rates stop rising, the dollar becomes less attractive to foreign investors seeking higher yields, meaning the currency is likely to weaken against its rivals. The key number for currency traders to watch going forward will now be the monthly inflationary print, analysts said. The rate of price rises has sharply fallen to just 3% in recent months. If that cooling carries on, the dollar will likely keep sliding – but any flare-up could encourage the Fed to bring in further rate hikes, which could offer some support to the currency.
Powell's comments were"taken as dovish at the margin by markets on anticipation that the recent disinflationary trend will continue," Saxo's head of foreign exchange strategy John Hardy said Thursday.
Finance Finance Latest News, Finance Finance Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: SpectrumNews1TX - 🏆 333. / 59 Read more »
Source: cbsaustin - 🏆 595. / 51 Read more »
Source: Cointelegraph - 🏆 562. / 51 Read more »