Markets & News

Dollar Whipsawed as Traders Sort Through Yellen’s Speech: Chart

The dollar rallied, then plunged, and rebounded against other major currencies an hour later as traders worked through the implications of Federal Reserve Chair Janet Yellen’s speech in Jackson Hole, Wyoming. Yellen said the performance of the U.S. economy and the outlook for inflation are giving the central bank more scope to raise interest rates, yet at the same time said monetary tightening will be gradual. Fed Vice Chairman Stanley Fischer shed more light later, saying a rate increase in September is possible.