The dollar index (DXY00) today is up by +0.22%. Higher T-note yields today are supporting gains in the dollar. The dollar is also climbing today on weakness in the British pound, which fell to a 2-week low after the UK's Aug government borrowing exceeded estimates. The dollar fell back from its best level today after Minneapolis Fed President Neel Kashkari said he has penciled in two additional Fed rate cuts this year.
The dollar is being undercut by concerns over Fed independence, which could prompt foreign investors to dump dollar assets as President Trump attempts to fire Fed Governor Cook, and by Stephen Miran's intention to be a Fed Governor while still technically holding his White House job on the Council of Economic Advisors.
