The dollar hit a six-week high against other major currencies on Thursday, a day after hawkish comments from the Federal Reserve put a September interest-rate rise back on the table.
In a testimony to Congress, Fed Chair Janet Yellen on Wednesday reiterated that a rate rise was likely this year. She added that every Fed meeting was a “live meeting” where action could take place and said that waiting much longer could mean “faster rate rises.”
Dollar bulls took their cue from those comments, pushing the dollar index to about 97.50 – its highest level in six weeks. The dollar index measures the dollar’s value versus other major currencies.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.