Dollar Recovers on Fed Focus at Jackson Hole

The US dollar has partially recovered its losses from last week as investors focus on comments from Federal Reserve officials at the Jackson Hole symposium. This comes after data showed inflation rose more than expected in July, with interest rates possibly staying restrictive through the end of this year.

Data released earlier this week revealed inflation increased 1.5% in the second quarter, and another report indicated economic growth was also 1.5%. The euro slipped 0.1% versus the dollar to $1.1639, while the British pound dipped 0.1% to $1.3577 as investors adjusted bets for an interest rate hike by the Bank of England this year.

Economist Elias Haddad stated that the US economy continues to outpace other major economies, and he expects no change in rates through the end of the year. However, analysts said that if the central bank does not raise interest rates, it could limit the dollar's gains.