The dollar held steady on Friday but was poised for a weekly decline as a softer-than-expected U.S. inflation report this week led traders to cut bets on imminent rate hikes from the Federal Reserve.
Global Economic Impact
The U.S. inflation report has had a significant impact on the global economy, with the dollar index set for a weekly drop of 0.24%. The euro was at $1.1445, set for a 0.29% rise in the week, while sterling fetched $1.3476, on course for a 0.56% gain in the week.
The Japanese yen was fetching 162.39 per U.S. dollar, rooted near the 40-year low of 162.84 it touched at the start of the month. The dollar’s decline has been attributed to the easing chances of a near-term rate hike, although safe-haven flows have helped support the greenback.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
