Dollar Drops, Euro Gains: Fed Rate Cut Expectations
Update: 2025-12-01
Description
The dollar index recently hit a two-week low, driven by the yens unexpected strength and weaker-than-expected US manufacturing index. The anticipation of a Federal Reserve rate cut and the potential appointment of a more dovish Fed Chair, Kevin Hassett, also contributed to the dollars decline. Meanwhile, the euro gained ground due to the weaker dollar, hawkish comments from an ECB official, and the differing monetary policies of the ECB and the Fed. The markets now expect a ninety-six percent chance of a rate cut at the Federal Open Market Committees December meeting, driving up demand for precious metals. The yen, fueled by hawkish comments from the Bank of Japans governor, climbed to a two-week high against the dollar, potentially signaling a shift in monetary policy.
The Daily News Now! — Every city. Every story. AI-powered.
Hosted on Acast. See acast.com/privacy for more information.
Comments
In Channel
Download from Google Play
Download from App Store
United States00:00
00:00
1.0x
