The uncertain monetary policy outlook triggered by the mixed comments in the FOMC Minutes helped the U.S. dollar remain firm during the week spanning May 20 to 24. During the week, the U.S. dollar gained against the euro, the Australian dollar and the Japanese yen but weakened against the British pound. The 6-currency Dollar Index also increased during the past week.
The U.S. dollar’s strength against a basket of six currencies comprising the euro, the British pound, the Japanese yen, the Canadian dollar, the Swedish kroner and the Swiss franc, as measured by the Dollar Index recorded an uptick of 0.27 percent during the week ended May 24. The DXY closed at 104.72 on May 24, rising from 104.44 a week earlier.
The Fed Minutes released on Wednesday contained concerns about whether the monetary policy was sufficiently restrictive and whether further tightening was warranted….
