Dollar appreciated against majors after the housing data rose unexpectedly for the fifth-straight month, along with remarks from the US Treasury that the US will seek to restore investors’ confidence with a stronger dollar.
The US treasury Secretary Timothy Geithner stated that the world’s reserve currency will remain strong while adding that it’s not in the best interest of nations to devalue the currency.
The dollar sank over the past few months on remarks from the Federal Reserve Chairman; Ben Bernanke for the possibility of providing markets with another round of stimulus measures, offsetting the gains acquired by the dollar and forced a downside trend to prevail in markets.
The dollar rose in today’s trading session as China’s interest rate increased, discouraging investor’s demand for risk and causing the dollar to extend its gains against majors.
The US dollar index, which tracks the performance of the dollar against majors ascended on the daily scale to trade at 77.89, compared with the opening levels of...
