Dollar Weakens as Stocks Recover and US Consumer Sentiment Falls
The dollar index (DXY00) today is down by -0.23%. The dollar today is moderately lower and holding above Thursday’s 1-month low. A rebound in stocks today from Thursday’s losses has curbed liquidity demand for the dollar. The dollar was also undercut after the University of Michigan’s US consumer sentiment index unexpectedly fell to an 8-month low. The dollar has carryover pressure from Thursday’s weaker than expected US CPI report, which boosted the chances for a Fed rate cut at the September FOMC meeting. A supportive factor for the dollar was today’s...
