The dollar lost ground on Thursday as investors digested an as-expected 75 basis point interest rate rise by the Federal Reserve and eyed comments about potential future hikes.
The dollar index - which measures the greenback against a basket of other major currencies - dropped by 0.31% to 106.12 as of 02:40 EST (0640 GMT), hovering just above its lowest mark since July 5.
The U.S. currency's yield-sensitive pairing with the yen (USD/JPY) also fell 0.86% to 135.38 yen after a sharp decline in the 2-year Treasury yield. It earlier touched 135.105 yen, the weakest level since July 6.
The moves come after the Fed increased its policy target interest rate on Wednesday by three-quarters of a percent for the second month in a row. Traders focused in particular on statements from Fed Chair Jerome Powell, who dropped guidance on the size of the next rate rise. That, in turn, heightened the possibility that the central bank could soon slow the pace of hikes.
Source: Investing.com
The dollar index - which measures the greenback against a basket of other major currencies - dropped by 0.31% to 106.12 as of 02:40 EST (0640 GMT), hovering just above its lowest mark since July 5.
The U.S. currency's yield-sensitive pairing with the yen (USD/JPY) also fell 0.86% to 135.38 yen after a sharp decline in the 2-year Treasury yield. It earlier touched 135.105 yen, the weakest level since July 6.
The moves come after the Fed increased its policy target interest rate on Wednesday by three-quarters of a percent for the second month in a row. Traders focused in particular on statements from Fed Chair Jerome Powell, who dropped guidance on the size of the next rate rise. That, in turn, heightened the possibility that the central bank could soon slow the pace of hikes.
Source: Investing.com
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