U.S. Dollar Slips as Markets Brace for Fed Minutes and Month-End Flows
27 November 2025
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The U.S. dollar softened on November 27 as traders positioned ahead of the upcoming Federal Reserve meeting minutes and typical month-end portfolio rebalancing. The pullback followed several days of mixed U.S. data, including uneven jobless claims and weaker durable goods orders, which reinforced expectations for a gradual policy-easing cycle in early 2026.
Risk sentiment improved modestly, lifting major equity indices and pressuring safe-haven flows. Meanwhile, yen volatility picked up amid speculation that the Bank of Japan may tighten policy sooner than expected, driven by rising wage data and persistent inflation pressure.
In Europe, the euro climbed toward multi-week highs as investors awaited fresh guidance from ECB speakers and monitored fiscal-stability discussions within the bloc. Commodity currencies were mixed, with the Australian dollar benefiting from stronger metals demand while the Canadian dollar lagged on softer crude prices.
Across markets, attention turned to whether month-end dollar selling would continue pushing the greenback lower into December or if profit-taking could reverse the trend.
