The dollar index (DXY00) on Monday fell by -0.03%. The dollar posted modest losses on Monday and came under pressure on dovish comments from Fed Governor Christopher Waller, who said he’s advocating a December rate cut by the Fed. Mr. Waller’s comments pushed the chance of a Fed rate cut next month to 80% from 30% last Thursday. Also, Monday’s stock rally reduced liquidity demand for the dollar. Weakness in the yen was supportive for the dollar today, as the yen attempts to hold above last Friday’s 10-month low.
Fed Governor Christopher Waller said he’s advocating for a December rate cut by the Fed due to concerns about the labor market and then taking a meeting-by-meeting approach starting in January.
