Dollar eases from seven-week peak as oil prices extend decline

FILE PHOTO: U.S. dollar banknotes are seen in this illustration taken March 10, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

Sept 17 : The dollar climbed to a seven-week high on Thursday after the Federal Reserve raised rates and reaffirmed its commitment to curbing inflation, though it later eased as energy prices extended their fall on diminishing fears of supply disruptions.

The Fed raised rates and signalled further hikes, with Chair Kevin Warsh reaffirming the central bank's independence despite repeated calls from U.S. President Donald Trump for lower borrowing costs.

American assets could have faced headwinds without clear Fed guidance, as concerns about Warsh's perceived dovish stance might have fuelled doubts about the central bank's commitment to containing inflation.