Dollar Gains as Fed Points to Rate Hikes in 2023
By Peter Nurse
Investing.com — The dollar rose in early European trade Thursday, climbing to levels not seen for around two months after the Federal Reserve surprised markets with a hawkish turn, bringing forward its timetable for raising interest rates to 2023.
At 3:15 AM ET (0755 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, was traded 0.2% higher at 91.418, after surging nearly 1% overnight, its biggest rise since March of last year.
USD/JPY was up 0.1% at 110.75, just off its recent high of 110.83, a level not seen since April 1; EUR/USD fell 0.1% to 1.1986, after falling over 1% overnight, its biggest drop since April 2020; GBP/USD was flat at 1.3987, just above its lowest level since May 7; and the risk-sensitive AUD/USD was up 0.1% at 0.7617, recovering to a degree after earlier falling to 0.7598, the lowest since April 13.
The U.S. Federal Reserve concluded its latest two-day policy…
