Dollar Edges Lower As Yellen Takes Questions

The dollar trimmed its gains against the euro and weakened further against the yen Wednesday after Federal Reserve Chairwoman Janet Yellen took questions from the House Financial Services committee. Yellen largely hewed to the cautious outlook from her prepared remarks during the question and answer session. She acknowledged the deterioration in market conditions, but didn't back away from the possibility of raising interest rates in the near future. The dollar's decline suggests that investors have interpreted her remarks as slightly dovish -- meaning they expect the Fed will leave interest rates lower for longer, said Matt Weller, senior technical analyst at Forex.com. The euro traded at $1.1205, compared with $1.1289 late Tuesday in New York. The dollar traded at 114.33 yen, compared with 114.95 yen.