Dollar Slumps Against Major Currencies Amid Softer Inflation Gauges

The US dollar is trading softer against major currencies after hitting lows in early North American turnover yesterday. The dollar initially fell to session lows near JPY159 and recovered slightly above JPY159.55, its highest level since intervention.

The euro has been steady, fluctuating between $1.1510 and $1.1560. It is around the same price it was at last week, despite softer inflation gauges and reduced expectations for a Fed hike next month.

Sterling reached a new low near $1.3475 yesterday but has recovered to session highs near $1.3530 in late European morning turnover. The US dollar also fell to almost CAD1.3885 today, its lowest level since June 5.