In an interview with CNBC on Friday, Richmond Federal Reserve Bank President Thomas Barkin noted that inflation in the US is heavily driven by the auto sector, as reported by Reuters.

Barkin further said that eventual rate rises depend on inflation and the state of the labour market. "The Fed has gone a long way toward meeting inflation and jobs goals," he added.

Market reaction

These comments don't seem to be having a significant impact on the greenback's performance against its major rivals. As of writing, the US Dollar Index was virtually unchanged on the day at 94.00.