Wall Street inched higher overnight, while the greenback weakened, as another US Federal Reserve official stressed the importance of patience with the central bank before it starts raising interest rates.
"I believe that the biggest risk we face today is prematurely engineering restrictive monetary conditions," Chicago Fed President Charles Evans said in a speech in Indianapolis, Indiana. "I am very uncomfortable with calls to raise our policy rate sooner than later. I favour delaying liftoff until I am more certain that we have sufficient momentum in place toward our policy goals.
"And I think we should plan for our path of policy rate increases to be shallow in order to be sure that the economy's momentum is sustainable in the presence of less accommodative financial conditions," Evans said. "I look forward to the day when we can return to business-as-usual monetary policy, but that time has not yet arrived."
The US dollar fell 0.3 per cent against the euro, and shed 0.2 per cent against the yen. US bond markets were closed for the Columbus Day holiday on Monday.
In late afternoon trading in New York, the Standard & Poor's 500 Index rose 0.13 per cent, while the Nasdaq Composite Index was up 0.43 per cent.