Currencies

Dollar Drops Most in a Month as Fed Weighs 2024 Rate Cuts

  • Trader focus turning to a flurry of rate decisions Thursday
  • Dovish ECB and BOE could limit dollar declines: Jefferies
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The dollar is having its worst day in a month after the Federal Reserve left its benchmark interest rate unchanged and put forward a more aggressive forecast for monetary easing in 2024.

A Bloomberg benchmark of the dollar sank 0.8% for its biggest one-day drop since November. All the greenback’s Group-of-10 peers strengthened against the dollar with the Norwegian krone, Japanese yen, Swedish krona, as well as Australian and New Zealand dollars gaining more than 1%.