Fed Officials Warn On Slower Growth Forecasts As The Dollar Drops


“The dollar declined for the first time in three days after Federal Reserve officials said a worldwide economic slowdown may delay interest-rate increases,” Bloomberg reported last week.

According to Bloomberg, “The dollar weakened 1 percent to $1.2752 per euro. It also declined 0.7 percent to 106.86 yen and touched 106.78, the weakest level since Sept. 11.”

Fed Vice Chairman Stanley Fischer warns, “If foreign growth is weaker than anticipated, the consequences for the U.S. economy could lead the Fed to remove accommodation more slowly than otherwise.”

There is a growing fear “that the improving U.S. economy may struggle to withstand foreign weakness and a strengthening dollar.

Summary by MedicalGroups.com

To read more from Bloomberg, Click Here