Currency Buzz: Dollar Under Pressure Ahead Of FOMC

16 Mar 2022 , 02:42 PM

The US dollar is seen under pressure, lingering near 98.70 level ahead of the FOMC event later in the global day. The dollar index, that measures the greenback against a basket of currencies came off 99 mark in early Asia on Wednesday and is currently seen quoting at 98.70, after hitting a 21-month high of 99.4 last week. The index sees some correction from recent peaks in response to the mild optimism surrounding the Russia-Ukraine peace dialogue. Meanwhile, US Treasury yields also rose to their highest in more than two-and-a-half years to more than 2% ahead of the announcement, providing support to the greenback. US annual inflation rate accelerated to 7.9% in February, a fresh 40-year high, making the interest rate hike imminent.

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