Bostic was partly responding to the outburst of violence in Israel and Gaza, said Joseph Trevisani, senior analyst at FXStreet in New York.
"You can pretty much count on the Fed taking that into its world view and that's only going to be lower rates."
U.S. Treasuries rallied, pushing two-year yields to their lowest in a month, as safe-haven demand was driven by the ongoing Mideast bloodshed and dovish Fed comments.
The yield on the 10-year U.S. Treasury , which moves inversely to the price, was down 12.5 basis points at 4.6571%.
The Swiss franc , a traditional safe-haven currency, was at 0.9045 to the dollar, which weakened about 0.21%.
Persons:
Dado Ruvic, Raphael Bostic, Bostic, Joseph Trevisani, Treasuries, Shaun Osborne, Israel's shekel, They're, Chris Turner, Herbert Lash, Harry Robertson, Tom Westbrook, Simon Cameron, Moore, Susan Fenton, Sharon Singleton, Jonathan Oatis, Mark Heinrich, Richard Chang
Organizations:
REUTERS, Federal Reserve, Atlanta Fed, Fed, American Bankers Association, U.S, Scotiabank, Traders, Bloomberg, Analysts, Columbus, Kyodo, Bank of Japan, . Treasury, ING, Swiss, Thomson
Locations:
China, U.S, Israel, Gaza, New York, Toronto, Palestinian, London, Singapore