TOKYO, Oct 19 Reuters The dollar held firm against its peers on Thursday ahead of remarks by Federal Reserve Chair Powell as expectations grew that the U.S. central bank will keep rates higher for longer.
The greenback had the yen still hovering around Wednesday39;s twoweek low, not far from the psychologically sensitive 150mark.
The Australian dollar slid after domestic jobs data surprised to the downside, and the New Zealand dollar hit a near oneyear low.
The dollar index , which measures the dollar against a basket of currencies, remained mostly flat during Asian trading hours, hanging around the previous day39;s high of 106.63.
The euro was steady at 1.0534 after coming under pressure from the greenback overnight, while sterling was edging closer to a twoweek low at 1.21235.
The dollar has received support from a surge in U.S. Treasury yields, which continued their rise in the Asian morning as markets wagered that Federal Reserve Chair Jerome Powell would strike a hawkish tone at an appearance later on Thursday.
Recent rhetoric from the Fed, however, suggests policymakers are taking heed of a significant tightening in financial conditions, as well as increased uncertainty given recent geopolitic events in the Middle East, said IG Market Analyst Tony Sycamore.
I think it highly likely the Fed Chair will reinforce the more cautious commentary heard from Fed speakers over the past week and half, he said.
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