Dollar Falls, Gold Hits Record as Investors Mull 'Coin-Toss' Fed Decision

GLOBAL MARKET - LONDON. The dollar fell on Friday to its lowest this year against the yen and gold hit a record high after an overnight upheaval in investor expectations for a super-sized Federal Reserve interest rate cut next week.

Stocks, Treasury prices and commodities all rallied after traders raised the chances of a half-point cut from the Fed next week to 41%, from closer to 14% a day ago, before articles in the Financial Times and Wall Street Journal each called the decision "a close call".