At 15:45 GMT, DXY is trading 98.484, down 0.181 or -0.18%.
Weaker Regional Data and Fed Silence Stir Uncertainty
Thursday’s pullback in the DXY coincided with a weaker-than-expected Philadelphia Federal Reserve survey, which showed regional business conditions plunging 36 points to -12.8, missing the 9.5 consensus estimate.
While Treasury yields were little changed following the release, the broader market mood was cautious. The ongoing U.S. government shutdown has triggered a blackout on official economic data, delaying key indicators such as the consumer price index and limiting visibility into labor market conditions.
Fed Officials Set to Speak, Market Eyes Rate Path Clues
With FOMC members divided over the timing and scale of future rate cuts, traders are closely watching Thursday’s scheduled remarks from Fed Governors Waller, Barr, Bowman, and Miran.
Fed minutes from September revealed a split on how soon easing might begin, while futures markets are currently pricing in a 25 basis point cut at the October 28–29 meeting, which would lower the fed funds rate to a 3.75%–4.00% range.
Global Tensions, Rare Earth Moves Pressuring Dollar
The greenback was on track for a third straight loss against the euro, which traded at a one-week high of $1.1656. U.S.-China tensions escalated as Beijing expanded export controls on rare earths, drawing sharp criticism from U.S. officials.
