The dollar languished near a six-week low to the yen amid a sharp retreat in Treasury yields after investors interpreted a shrinking U.S. economy as one more reason for the Federal Reserve to ease its foot off the tightening pedal.
U.S. second-quarter gross domestic product contracted at a 0.9% annualized rate, according to the Commerce Department's advance estimate, released Thursday. That followed a first-quarter contraction of 1.6%.
He warned, like many analysts have this week, that the market's "conclusion that the Fed has lost some of its hawkishness debatable." Meanwhile, the euro was flat at $1.01945 after a see-saw session on Thursday that ultimately ended with it little changed.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Rand Dollar News: USD/ZAR Falls Below 17.00 Ahead of Fed Decision DayMicrosoft, Alphabet earnings ease sentiment prior to FOMC. USD/ZAR falls below 17.00 after failing to clear critical resistance. EM (Emerging market) currencies remain vulnerable to stronger USD and higher prospects of a recession.
Read more »
China's Fed insiders, oil reserves tapped, Fed decision imminent: Wednesday's 5 things to knowThe Fed is widely expected to raise the Federal Funds rate by three-quarters of a percentage point, even as a new report reveals China has tried to undermine American monetary policy.
Read more »
Fed hikes interest rate by 0.75 percentage points in bid to curb inflationThe Federal Reserve raised its benchmark interest rate by a hefty three-quarters of a point for a second straight time in its most aggressive drive in three decades to tame high inflation.
Read more »
Fed Rate Hikes Are “Body Blow” to Workers Reeling From PandemicThe Federal Reserve plan to combat rising inflation by raising interest rates delivers a “body blow to a working class” already suffering from decades of upward wealth redistribution and a pandemic.
Read more »
Who wins and who loses when the Fed hikes interest rates?The Federal Reserve announced Wednesday that it will increase its benchmark interest rate by 0.75%, matching the largest increase in decades. Here's what that means for everyday Americans.
Read more »
Experts hope Fed rate hikes tamp inflation, avoid recession'I'm worried the Fed is going too quickly, too aggressively. They're going to break something,' said one expert.
Read more »