SINGAPORE — The US dollar was steady on Thursday as traders weighed the prospect of a measured Fed easing cycle following a cautious tone from policymakers while awaiting economic data that may outline the impact of tariffs and the outlook for rates.
Traders have priced in 43 basis points of rate cuts in the remaining two meetings this year although comments from officials including Federal Reserve Chair Jerome Powell indicate that a lot will depend on the upcoming economic data.
The lack of clarity and consensus on future easing has meant traders are no longer fully pricing in a cut next month. The dollar has edged higher since the Fed lowered interest rates last week, as expected.
The euro last bought $1.1752, 0.12 percent higher Asian hours after dropping 0.6 percent in the previous session. Sterling was at $1.3464 after also slipping 0.6 percent on Wednesday.
The dollar index , which measures the US currency against six other units, eased a touch to 97.744, but hovered near its highest level since September 11 it touched overnight.
The index is on the cusp of eking out a gain for the month, although the greenback has been on the back foot for much of the year against major peers and is down nearly 10 percent in 2025.
