USD – The dollar surged to a one-month high on Thursday as Federal Reserve officials spoke of the need for further rate hikes, and investors reevaluated Wednesday’s minutes from the central bank’s July meeting as being more hawkish than originally thought.
St. Louis Fed President James Bullard said he is leaning toward supporting a third straight 75-basis-point interest rate hike in September. While San Francisco Fed President Mary Daly said hiking rates by 50 or 75 basis points next month would be a “reasonable” way to get short-term borrowing costs to “a little bit above” 3% by the end of this year, and on their way to a little bit higher in 2023.
St. Louis Fed President James Bullard said he is leaning toward supporting a third straight 75-basis-point interest rate hike in September. While San Francisco Fed President Mary Daly said hiking rates by 50 or 75 basis points next month would be a “reasonable” way to get short-term borrowing costs to “a little bit above” 3% by the end of this year, and on their way to a little bit higher in 2023.