Dollar index extends losses, falls 1 percent

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NEW YORK, June 23 | Tue Jun 23, 2009 12:18pm EDT

NEW YORK, June 23 (Reuters) - The U.S. dollar extended losses against a basket of currencies on Tuesday to trade at session lows on speculation the Federal Reserve may lower expectations of an interest rate rise when it concludes its two-day meeting on Wednesday.

The ICE Futures U.S. dollar index .DXY fell as low as 79.877, according to Reuters data. It was last down 1.14 percent at 79.925. (Editing by James Dalgleish)

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