The US dollar traded slightly lower after investors scrutinizing the FOMC meeting minutes report released earlier this morning showed no recent surprises about the upcoming Federal Reserve (Fed) interest rate hike.
According to the minutes of the meeting, most U.S. central bank policymakers assessed that a 50 basis point increase in the target range for the Fed funds rate is likely to be appropriate at the next policy meeting.
Moreover, they also noted a tight policy stance may be appropriate depending on the evolving economic outlook, which is seen as highly volatile at the moment.
At the same time, speeding up the removal of simple policies, will put the central bank in a good position by the end of the year to assess the impact of the tightening implemented.
The Fed raised interest rates by 50 basis points to a target range of 0.75% -1.00% at its May 2022 meeting, the second consecutive and largest increase in borrowing costs since 2000.
Meanwhile, the euro, backed by hawkish statements from the European Central Bank (ECB), is trying to capitalize on the depreciation of the US dollar to gain additional impetus to rise.
The pound unexpectedly rose higher in the Asian session driven by the weakness of the greenback dollar.
