US dollar remains weak for the weekBusiness | 19 Jul 2019 1:14 pm
The US dollar steadied today but was still on the defensive after Federal Reserve officials bolstered expectations of an aggressive rate cut this month to
address weakening price pressures, Reuters reports.
At a central banking conference on Thursday, New York Fed President John Williams argued for pre-emptive measures to avoid having to deal with too low inflation and interest rates.
That sent the dollar down before it bounced slightly in early Asian trade, after a New York Fed representative subsequently said Williams' comments were academic and not about
immediate policy direction.
Still, investors took his remarks along with separate
comments from Fed Vice Chair Richard Clarida as another dovish signal from the central bank, which could be opening the way for a big rate cut at the end of this month.
The dollar stood at 107.42 yen, up 0.2 percent from late U.S. levels after having hit a three-week low of 107.21 the previous day.
The euro eased slightly to US$1.1266 from US$1.1282. On the week, the dollar is down by 0.4 percent versus the yen and 0.1 percent on the euro.
The dollar index, which hit a two-week low of 96.648, bounced to 96.792.