The dollar fell against most major currencies on Thursday after the Federal Reserve opened the door to a pause in the tightening cycle, although risk aversion shocked markets amid a decline in US bank stocks.<\/p>\n\n\n\n
On Wednesday, the Fed raised the benchmark interest rate by a quarter of a percentage point, as expected, while softening its monetary policy statement after saying it “anticipates” the need for further rate increases.<\/p>\n\n\n\n
This sent the dollar broadly lower and treasury yields lower after the decision, with traders taking the comments as a signal that a peak in US interest rates has been reached.<\/p>\n\n\n\n
In light of weakness in Asian trading on Thursday, the sterling pound rose 0.2% to its highest level in nearly 11 months at $1.25905, while the euro rose 0.19% to $1.1082, hovering near its latest peak in a year.<\/p>\n\n\n\n
Markets in Japan remain closed for a holiday.<\/p>\n\n\n\n
The dollar index fell in the latest reading of 0.14% to 101.09, after declining by more than 0.6% in the previous session.<\/p>\n\n\n\n
Shares of BacWest Bank and several other US regional lenders fell in after-hours trading on Wednesday.<\/p>\n\n\n\n
Cautious risk appetite supported the Japanese yen, which represents a safe haven in market turmoil, as it rose about 0.1% against the dollar to 134.56.<\/p>\n\n\n\n
The risk-sensitive Australian and New Zealand dollars reversed their earlier losses during Asian trade, rising 0.3 percent each to $0.6692 and $0.6249, respectively.<\/p>\n\n\n\n
All eyes are on the European Central Bank, which is expected to raise interest rates for the seventh consecutive meeting later on Thursday.<\/p>\n","protected":false},"excerpt":{"rendered":"
The dollar fell against most major currencies on Thursday after the Federal Reserve opened the door to a pause in the tightening cycle, although risk aversion shocked markets amid a decline in US bank stocks. On Wednesday, the Fed raised the benchmark interest rate by a quarter of a percentage point, as expected, while softening …<\/p>\n","protected":false},"author":9,"featured_media":82387,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[6827,49,37,36],"tags":[6877,194,7218,6834,6984],"class_list":["post-83657","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-daily-economic-reports","category-economic-reports","category-forex-markets","category-market-updates","tag-dollar","tag-gdp","tag-pce","tag-pmi","tag-treasury-yields"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/83657","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=83657"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/83657\/revisions"}],"predecessor-version":[{"id":83658,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/83657\/revisions\/83658"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/82387"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=83657"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=83657"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=83657"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}