After tumbling on Wednesday due to comments by Fed Chair Powell, the greenback rebounded against some of the other G10 currencies on Thursday. The Fed minutes confirmed the case for a December hike, but revealed uncertainty with regards to the path of future rate increases. However, the dollar did not slide further. It may have stayed somewhat offered due to its safe-haven status as investors have started turning their gaze to the G20 summit and the meeting between Trump and Jinping.
FED MINUTES PAINT THE SAME PICTURE AS POWELL DID
After suffering massive losses on Wednesday, the dollar managed to recover against some of the other G10 currencies on Thursday, but not all. It staged a decent rebound against SEK, GBP and CHF in that order, while it stayed on the back foot against NOK, EUR and AUD. The greenback ended within a ±0.10 range against JPY and NZD.
On Wednesday, the dollar sank after Fed Chair Jerome Powell said that interest rates “remain just below the broad range of estimates of the level that would be...
Read the full financial markets daily report on JFD Research.