Dollar Rally Stalls as Market Gigests Fed's Cooler Approach to Easing

FOREX - NEW YORK. The dollar on Thursday edged back from a two-year peak hit the prior session after the Federal Reserve signaled a much slower pace of rate cuts in 2025, while the yen slid after the Bank of Japan stood pat on rates.

The pullback in the dollar subsided after the final read on U.S. third quarter GDP showed the economy grew at a 3.3% annual rate, stronger growth than the prior reading of 3.0% and economists' average forecasts of 3.1%.