The economist thinks the Fed ought to pay more attention to financial markets when setting interest rates.The Fedread more
Kohl's, J.C. Penney and Nordstrom release disappointing earnings news, putting a damper on their sector.Retailread more
Bezos's comments give a rare glimpse into his interest in the auto industry. Amazon recently invested in two self-driving start-ups.Technologyread more
While investing often seems like a contrarian game where going against the flow feels like the better bet, the reality is that investors who bought the most-favored stocks...Hedge Fundsread more
Talks between the world's two largest economies have stalled after each nation lobbied higher tariffs on the other's imports.Traderead more
"Pretty much the entire suite of apps that 'talk' over the internet could be vulnerable," said Tom Uren, a senior analyst at the Australian Strategic Policy Institute's...Cybersecurityread more
A Chinese official in Hong Kong is urging the quick passage of legal measures to allow fugitives to be transferred to the mainland.China Politicsread more
GAC Motor said its delaying its launch in the U.S. but had no timeline when it could launch there.Autosread more
Shares in Asia were higher in Wednesday morning trade following a positive finish overnight on Wall Street, though trade tensions continued to linger between the U.S. and...Asia Marketsread more
See which stocks are posting big moves after the bell on Tuesday, May 21.Market Insiderread more
CBS plans to renew discussions for Starz with Lions Gate in the coming weeks, according to people familiar with the matter. If a deal happens, the remainder of Lions Gate...Technologyread more
The dollar fell to a near one-month low against a basket of its rivals on Tuesday as a U.S.-Mexico trade deal aimed at The dollar stuck to a four-week low on Tuesday, as the U.S.-Mexico trade deal reached Monday aimed at overhauling the North American Free Trade Agreement prompted investors to continue unwinding their safe-haven bets on the greenback and boosted appetite for riskier assets.
The U.S. currency has fallen for three straight weeks, down nearly 2 percent. "The weakness in the buck was the result of relief risk-on flows after the U.S. completed a trade deal with Mexico, indicating that the Trump administration will be willing to negotiate with Canada and Europe as well," said Boris Schlossberg, managing director of Foreign Exchang strategy at BK Asset Management in New York.
The United States and Mexico agreed on Monday to overhaul NAFTA, putting pressure on Canada to agree to new terms on auto trade and dispute settlement rules to remain part of a three-nation pact.
In mid-morning trading, the dollar was down 0.05 percent against a basket of rival currencies at 94.72, after earlier hitting a four-week trough.
Against the Canadian dollar, the greenback fell 0.26 percent to C$1.2916.
The dollar last Friday and Monday was stung as well by comments from Federal Reserve Chairman Jerome Powell at the Jackson Hole, Wyoming conference that seemed to suggest a slower pace of U.S. interest rate increases. He did say the Fed will continue to raise interest rates but he noted that the Fed sees no clear sign of inflation accelerating above 2 percent.
"Jay Powell is sounding like a dove, and I believe it is self-preservation," said John Taylor, president and co-founder of research firm Taylor Global Vision in New York. "There are one or two hikes ahead: we bet it is one in December giving an open track over the election." U.S. President Donald Trump in an interview with Reuters last week said he was not thrilled with the Federal Reserve under his own appointee, Powell, for raising interest rates.
The greenback did pare losses after the U.S. consumer confidence index came in higher than expected. In addition, the Chinese central bank allowed its currency to strengthen against the dollar via its daily fixings, further boosting risk appetite. Prior to the market opening, the People's Bank of China raised its daily yuan midpoint by almost 0.7 percent, the most in nearly 15 months.
The euro, meanwhile, rose 0.15 percent to $1.1695, despite worries Italy's public deficit could exceed the European Union's ceiling of 3 percent of gross domestic product, senior officials said.