USD Maintains Negative Trend for the Third Day

The U.S. Dollar (USD) maintained a negative performance on Tuesday, failing to recover his recent losses against major peers for the third consecutive session as Treasury bond yields stalled.

Federal Reserve officials, including Robert Kaplan and Richard Clarida, recently reiterated the message that the central bank does not expect to raise interest rates in the foreseeable future until the U.S. economy achieves further substantial growth towards the employment and price stability goals. They also noted that the rise in the inflation rate is likely to be temporary and yet to reach the 2% sustainable target.

The Dollar Index (DXY), which measures the greenback’s performance against a basket of six major international currencies, is down for the day by 0.32% at 89.87, nearing its lowest level in months.

The index has been moving today in a range between 89.69 and 90.20, almost entirely in the negative territory, after closing yesterday at 90.16.

Markets are anticipating tomorrow’s release of the most recent Federal Reserve meeting minutes, looking for more signals about the direction of interest rates and the broader monetary policy in the coming months, following the huge readings achieved on the economic growth and inflation scales, exceeding market expectations.