Greenback soars amid new US rate lift hopes
On Monday, the greenback surged against the other key currencies, as new hopes for a probable American rate lift before the end of the year gave support to the major American currency.
The currency pair EUR/USD sank 0.26%, trading at 1.1294, off the four-day minimum of 1.1270 achieved overnight.
The US dollar remained supported after on Thursday, San Francisco Federal Reserve Bank President John Williams indicated support for a September rate hike.
From his point of view, in the context of a sturdy domestic economy with decent momentum, it makes sense to get back to a tempo of gradual rate lifts, preferably sooner rather than later.
Minutes of the Fed’s July policy gathering issued earlier in the week demonstrated that committee members are still divided on the timing of the next rate lift, though there’s a general agreement that more data is required before this move.
The currency pair GBP/USD edged up 0.26%, trading at 1.3107.
USD/JPY soared 0.44%, being worth 100.65, while USD/CHF gained 0.30% at 0.9631.