Dollar eases from 18-month high as Treasury yields fall; Fed hike bets ease

What happened: The dollar slipped from an 18-month high as Treasury yields fell and cautious Fed remarks tempered October rate hike bets despite hot inflation data. Key numbers: Dollar index down 0.2 per cent at 102.03. Euro up 0.5 per cent to $1.1216. Sterling up 0.5 per cent to $1.3253. 10-year yield 5.085 per cent, 30-year 5.428 per cent. Why it matters: Traders see the CPI print as not hot enough to force a Fed move at the October 27 and 28 meeting, with the timing near midterm elections also cited. Analysts expect choppy trading until retail sales and PPI data. Coverage: 3 outlets in 24h

The dollar slipped from an 18-month high as Treasury yields fell and cautious Fed remarks tempered October rate hike bets despite hot inflation data.

Traders see the CPI print as not hot enough to force a Fed move at the October 27 and 28 meeting, with the timing near midterm elections also cited. Analysts expect choppy trading until retail sales and PPI data.