Dollar regains footing as yields rise, Fed outlook weighed

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Dollar regains footing as yields rise, Fed outlook weighed
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TOKYO : The dollar steadied on Wednesday after seesawing along with bond market volatility in recent sessions, as investors scrutinised U.S. economic indicators, Federal Reserve commentary and corporate earnings for clues about the path for interest rates.The dollar index, which gauges the greenback again

TOKYO : The dollar steadied on Wednesday after seesawing along with bond market volatility in recent sessions, as investors scrutinised U.S. economic indicators, Federal Reserve commentary and corporate earnings for clues about the path for interest rates.

The dollar-yen pair, which tends to track U.S. yields, added 0.19 per cent to 134.35 yen per dollar, recovering from a 0.29 per cent retreat on Tuesday. "The market is pretty much resigned to a 25 bps hike at the May meeting, so it's more the ebb and flow of expectations about rate cuts this year that's causing U.S. bond market volatility," said Ray Attrill, head of foreign-exchange strategist at National Australia Bank.

The dollar index last year culminated a breathless 16-month surge by hitting a two-decade high of 114.78 at the end of September, which was followed by a steep, steady retreat until the start of February.

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