14.11.202513:47:55UTC+00Dollar Down for 2nd Day

The dollar index declined to 99.1 on Friday, marking its lowest point this month, as it extended a 0.3% drop observed in the previous trading session. Investors have been reevaluating the prospects of the U.S. economy amidst anticipation for the updated schedule of delayed economic data releases. While some of these reports may be forthcoming, others could remain unpublished. In the meantime, market participants have adjusted the likelihood of a Federal Reserve rate cut in December to below 50%, down from almost 65% at the start of the week. This revision followed statements from various officials who expressed skepticism over the necessity for a third consecutive rate reduction, highlighting the economy’s robustness and persistent uncertainties surrounding inflation. Additionally, a preference for traditional safe-haven currencies like the Japanese yen and the Swiss franc emerged, fueled by a risk-averse sentiment. In contrast, the U.S. dollar gained strength against the British pound, as concerns over the UK’s fiscal position exerted pressure on sterling. Over the course of the week, the dollar registered a 0.4% decline.