The dollar hovered just below a four-year peak against a basket of major currencies early in Asia on Tuesday as the euro steadied near a 14-month trough with sellers taking a bit of a breather.
The dollar index last traded at 84.699, having peaked at 84.861 on Monday, a high not seen since July 2010. It has posted 10 straight weeks of gains as markets wagered U.S. rates would rise long before those in Europe or Japan.
The dollar’s run even prompted New York Federal Reserve bank president William Dudley to caution that the gains could complicate the Fed’s job,potentially hurting U.S. economic performance and pushing down inflation.
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