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2014.09.2223:26:33UTC+00US dollar drifts below four-year high versus major peers

The US dollar glided below a four-year peak against a basket of major currencies in Asia early Tuesday.

The currency’s rally prompted New York Federal Reserve Bank President William Dudley’s caution the gains could complicate the Fed’s job, which might possibly affect US economic performance and push down inflation.

Dudley said the greenback’s value was not the Fed’s policy goal and had to be taken on board as part of its economic forecast.

Against the Japanese yen, the currency traded at ¥108.82, not far from a six-year peak of ¥109.46 reached Friday.

The dollar was at $1.2849 to the euro, plumbing a new 14-month trough of $1.2816.

The dollar index last traded at 84.699, hitting 84.861 high Monday, a level not noticed since July 2010. It has recorded 10 straight weeks of gains as markets bet US rates would increase long before those in Europe or Japan. 

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