The dollar stabilized against most major rivals on Friday as markets assess the likely path ahead for Fed monetary policies.
The Federal Reserve’s latest policy meeting minutes showed that policymakers dismissed the odds of early rate cuts unless inflation proved to be moving sustainably towards 2%.
The minutes showed the Fed is seeking to achieve full employment targets alongside 2% inflation in the long-term, with ongoing uncertainty about economic outlook.
Bloomberg released a survey of 72 economic experts, most of them believe the Fed will maintain high interest rates for an extended duration, and they expect only one rate cut in the third quarter of 2024.
According to the Fedwatch tool, the markets expect the Fed to hold interest rates flat in March with a 97.5% chance of no change, and a 78.1% chance of no change in policies at the May meeting.
On trading, the dollar index steadied at 103.9 as of 20:34 GMT, with a session-high at 104.05, and a low at 103.7.
Aussie
The Australian dollar rose 0.1% against its US counterpart to 0.6561 as of 20:46 GMT.
Canadian Dollar
The Canadian dollar slipped 0.2% against its US counterpart to 0.7404 as of 20:46 GMT.
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