Equities gain, US dollar falls; Fed seen less eager to taper
NEW YORK (REUTERS) - Global equity markets rose while the US dollar dipped on Monday (Aug 23) as investors grew less concerned that the Federal Reserve would soon begin changing its accommodative monetary stance. Market sentiment was buoyed after the US Food and Drug Administration granted full approval to the Pfizer Inc/BioNTech SE Covid-19 vaccine. New cases, driven by the highly infectious Delta variant, have surged in parts of the United States with lower vaccination levels. The dollar index slid. Last week it hit a nine-month high on bets that the Fed would start shifting away from its accommodative monetary policy, but that view began to change on Friday when Dallas Fed President Robert Kaplan said he might reconsider his hawkish stance if the virus harms the economy. Now, investors are less confident Fed Chair Jerome Powell's speech at Jackson Hole this week will indicate a timeline for winding down the Fed's bond-buying program. The dollar index, which measures the currency's performance against a basket of six major currencies, fell 0.516 per cent to 92.999. "There was a fear that they were going to announce tapering in Jackson Hole and start in September. But it now looks...
