FOREX-Dollar dips as bonds stabilize, while sterling, NZ dollar gain - NewsBreak

(Adds detail, updates prices; changes byline; previous LONDON) * Graphic: World FX rates tmsnrt.rs/2RBWI5E By Karen Brettell NEW YORK, Oct 19 (Reuters) - The dollar dipped on Tuesday as the rapid rise in U.S. Treasury yields paused and other currencies, including sterling, were boosted by expectations of sooner-than-previously expected interest rate hikes. The greenback reached a one-year high against a basket of other currencies last week as Treasury yields surged and as investors bet the Federal Reserve may need to increase rates to address stubbornly high inflation. Yields appeared to stabilize on Tuesday, however, which reduced demand for the greenback. The dollar's move lower on Tuesday was also likely exaggerated by technical factors as investors unloaded long positions. "The movement in rates hardly explains extent of the USD drop," analysts at Scotiabank said in a report. "Rather, it seems USD long liquidation has snowballed into a broader clear out of positioning, triggering a