Dollar retreats from 18-month peak as Treasury yields decline and Fed rate-hike expectations ease

Source Summary

The U.S. dollar has retreated from its 18-month high as Treasury yields declined and market expectations for Federal Reserve rate increases eased. The pullback reflects shifting sentiment regarding monetary policy tightening.

Why it matters

Currency and Treasury yield movements signal shifts in monetary policy expectations that affect global capital flows, investment returns, and cross-border trade competitiveness.