The world's reserve currency slipped on Monday after remarks by the president of the Federal Reserve Bank in New York, Bloomberg reports.
Policy makers should defy economic trends, President William C. Dudley said in the aftermath of last week's Fed decision to leave stimulus unchanged, according to the news source. The greenback also lost value against the majority of its top 16 rivals.
"The Federal Reserve's decision to delay tapering its asset purchases is set to keep the dollar weak for the next three months," states a Monday email penned by currency strategy head Mansoor Mohi-uddin with UBS, according to Bloomberg. "For now we see position unwinding, uncertainty about the Fed's intentions and next month's U.S. fiscal risks keeping the dollar at current levels close to its lows for the year against the euro, pound and Swiss franc."
The greenback slipped about 0.6 percent against the yen and roughly 0.2 percent against the common currency of the European Union.
The ICE dollar index, a metric that assesses the value of the monetary unit against six major rivals, initially edged up on Monday morning, according to MarketWatch.
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