Dollar Slips as Fed Worries Continue

Expectations that the Federal Reserve will have to keep its easy-money policies in place for longer following the partial U.S. government shutdown pushed the dollar close to its lowest point of the year against the euro and U.S. Treasury debt prices to their highest point since July.

Yields on the 10-year Treasury note, which move inversely to prices, were down to 2.55%, while the dollar continued its slide against the euro, which rose to $1.3695 from $1.3675 late Thursday in New York, edging closer to this year’s high of $1.3711 reached on Feb. 1. The dollar fell further against the pound, which traded just above the $1.62 level for the first time in two weeks, and resumed its drop against the yen, fetching ¥97.65 from ¥97.93.

About three hours before the start of trading, U.S. futures pointed to a relatively subdued open on Wall Street, where stocks staged a late-session comebackThursday that helped push the S&P 500 to a record close of 1733.15. The front-month contracts for the Dow Jones Industrial Average and the S&P 500 were both up 0.1%, at 15331.00 and 1729.80, respectively. Changes in futures don’t always accurately predict early market moves after the opening bell.

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