Currency Buzz: Dollar Stays Pressured Ahead Of Fed Powell Testimony

21 Jun 2022 , 11:20 AM

The American currency continued to stay under pressure on Tuesday ahead of U.S. Federal Reserve Chair Jerome Powell testimony to the Senate and the House on Wednesday and Thursday. The dollar index was off recent peaks but maintains close to a two-decade high. The dollar index, that measures the greenback against a basket of currencies was quoting at 104. 21, marginally lower by 0.5%. Last week, DXY touched a fresh high at 105.79. The Fed raised its benchmark interest rate by 75 basis points last week, the largest increase since 1994, in a bid to tame down soaring inflation. Meanwhile, Cleveland Fed Bank President Loretta Mester warned Sunday that the risk of a US recession is increasing, and that it will take several years to return to the central banks 2% inflation goal. Powered by Commodity Insights