Sharjah24 – Reuters: The dollar steadied on Monday after its steepest weekly loss in more than a month, as traders weigh the effect of inflation on the relative pace of looming rate hikes - with a wary eye on U.S. growth data and a European Central Bank meeting.
The greenback had softened, especially against the yen, after Federal Reserve Chair Jerome Powell said on Friday it was time to start cutting back asset purchases, though not yet time to begin raising interest rates.
His remarks came as investors have priced in Fed rate hikes starting in the second half of next year and yet have begun to trim long dollar positions in anticipation that other central banks could get moving even sooner.
On Monday, the dollar was firm at $1.1643 per euro and found a footing on the yen at 113.54 after Friday's slide. The Australian and New Zealand dollars were held below the multi-month peaks they had scaled during last week.
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