DOLLAR INDEX SLIDES BELOW 103 MARK AS FED`S WALLER SAYS CENTRAL BANK IS DONE RAISING RATES

Published on Nov 29, 2023 11:45

The dollar index fell sharply this week and is lingering at an over three month low under 103 mark on Wednesday. The decline came on the back of remarks by Federal Reserve Governor Christopher Waller that Fed is done raising interest rates. Speaking at an American Enterprise Institute event, Waller said he is "increasingly confident that policy is currently well positioned to slow the economy and get inflation back to 2 percent." However, Bowman maintained the need to increase the federal funds rate further to keep policy sufficiently restrictive to bring inflation down to our 2 percent target in a timely way. Investors now look ahead to PCE prices, the Fed-preferred inflation gauge, as well as personal income and spending data, and the ISM Manufacturing PMI for further guidance. The dollar index that measures the greenback against a basket of currencies was trading at 102.56, hovering at its lowest levels in over three months. Among basket currencies, EURUSD and GBPUSD held with marginal gains at $1.1008 and $1.2710.