Finance
Dollar loses ground against peers after Fed cuts rates
Published by Global Banking & Finance Review®
Posted on December 10, 2025
1 min readLast updated: January 20, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on December 10, 2025
1 min readLast updated: January 20, 2026
The US dollar fell against major currencies after the Federal Reserve cut interest rates, with dissent from three Fed members.
NEW YORK, Dec 10 (Reuters) - The U.S. dollar extended losses against major peers including the euro, Swiss franc, and Japanese yen on Wednesday after the Federal Reserve lowered interest rates in a widely expected move.
The Fed's decision to lower the benchmark policy rate by a quarter of a percentage point to the 3.50%-3.75% range drew three dissents: Chicago Fed President Austan Goolsbee and Kansas City Fed President Jeffrey Schmid argued that the policy rate should be left unchanged, while Fed Governor Stephen Miran again advocated for a larger half-percentage-point reduction.
The greenback lost ground against peer currencies immediately after the Fed's announcement. The dollar weakened 0.58% against the Swiss franc to 0.801 and was last down 0.4% to 156.24 against the Japanese yen.
The euro was up 0.39% at $1.167. The dollar index, which measures the greenback against a basket of currencies including the yen and the euro, fell 0.38% to 98.84.
(Reporting by Chibuike Oguh in New York; Editing by Nia Williams)
Monetary policy refers to the actions taken by a central bank to manage the money supply and interest rates to influence economic activity.
Interest rates are the cost of borrowing money, expressed as a percentage of the total amount borrowed, typically set by central banks.
Currency hedging is a financial strategy used to protect against potential losses due to fluctuations in exchange rates.
Financial markets are platforms where buyers and sellers engage in the trade of assets such as stocks, bonds, currencies, and derivatives.
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