The greenback started the American session on the back foot but strengthened following comments from US Federal Reserve chief Jerome Powell. Powell said that if they need to raise fed funds rate by more than 25 bps at a meeting, they will do so. Fed Funds Futures imply traders see a 60.7% chance of the Fed raising rates in May, up from about 52% before Powell’s comments. Wall Street edged lower while government bond yields soared. The yield on the 10-year Treasury note peaked at 2.30%, while that on the 2-year note hit 2.12%. Gold started the day with a soft tone but managed to post modest gains, now changing hands at around $1,930 a troy ounce. . . .
Read more at www.fxstreet.com
