The dollar is getting slammed

The dollar is getting slammed.

Near 12:50 p.m. ET, the US dollar index, which measures it against other major currencies, was over 1.5% lower at around 97.94.

Meanwhile, the euro is rallying against the dollar, climbing to as high as $1.0868.

The dollar had been surging in anticipation of higher US interest rates, which make dollar-denominated assets more attractive. But a statement from the Federal Reserve Wednesday, indicating that rate hikes may not come until at least June, gave investors pause.

On Thursday, HSBC made the first major call that the dollar's rally is over.

Here's a look at Friday's plunge:

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