Dollar Runs Win Streak To 10 Weeks On Lingering Rate Hike Chatter
Washington (Sept 19) Another day of gains took the dollar to its highest in more than a year versus the euro, with traders betting that the Federal Reserve is about to lay the ground work for rate hates sooner than expected.
The central bank kept its monetary policy unchanged on Wednesday, but there were hints in the Fed's accompanying statement indicating that interest rates will normalize ahead of schedule.
The dollar rose for a tenth consecutive week, helped by concerns about the outlook for economic growth in Europe and elsewhere.
However, Scotland's vote to remain with the UK propped up the sterling as well.
55% of Scottish voters rejected the independence referendum and 45% favored it, a larger final margin than most observers were anticipating.
The dollar slipped to USD1.63 versus the pound, moving further from a 10-month peak of USD1.605 from earlier in September.
Steady gains took the buck to USD1.2840 versus the euro, its highest since the summer of 2013.
The dollar also extended its recent surge versus the yen, jumping above Y109 to its highest in more than 6 years.