The US dollar was little changed at the beginning of trading week Monday following Federal Reserve Chair Janet Yellen assured investors the path to ‘normal’ interest rates would only take place at a gradual pace.
On Friday, Yellen outlined the gradualist approach to increasing hikes, saying policy tightening could either accelerate, dwindle, pause, or change course, depending on the actual and projected developments in the American economy.
Against the Japanese yen, the greenback closed at ¥119.24 from Friday’s ¥119.11. It was at $1.0889 per euro, previously $1.0457.
Yellen detailed why the Fed won’t rush increasing rates “and ultimately may not reach levels previously considered to be ‘normal’,” said Ray Attrill, Global Co-head of FX Strategy at National Australia Bank.
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