Federal Reserve Chair Janet Yellen. Photo: Reuters/Yuri Gripas

The dollar jumped while US Treasuries fell on Wednesday after Federal Reserve Chair Janet Yellen struck a slightly more hawkish tone than many expected.

Most Federal Reserve policymakers stuck to a forecast of another rate hike this year, along with three rate hikes next year.

A gradual rollback of quantitative easing will finally begin next month, a move that, barring unforeseen setbacks for the economy, will likely be followed next by balance sheet reductions by the European Central Bank.

The dollar index regained losses to jump up 0.7% following today’s press conference. The 10-year Treasury yield was up to 2.27% from 2.24%.

The Dow and S&P 500 regained early losses to end at new record highs.