Economics
Dollar Falls to 7-Week Low as Outlook for Fed Rate Increase Dims
- Likelihood of central-bank move remains below 50 percent
- Investors await minutes of the Fed’s July policy meeting
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The dollar weakened to almost a seven-week low as investors became less confident about a 2016 interest-rate increase before the release of the minutes of the Federal Reserve’s July meeting.
The chance of the Fed raising rates before year-end has fallen as stagnant retail-sales data on Aug. 12 cast doubt about the strength of the U.S. recovery. The odds, as measured by futures data tracked by Bloomberg, had started to climb after a better-than-forecast jobs report the previous week, supporting the dollar.