NEW YORK (Reuters) – The dollar traded near its highest level since November against major currencies on Friday, led by optimism about U.S. coronavirus vaccines and the economy, and rose to its highest level. against the Japanese yen since June.
Against a basket of six major currencies, the greenback stood at 92.813, not far from hitting a four-month high a day earlier and on course for a weekly gain of 0.9%. Reducing data showed a recent fall in consumer spending.
The yen-dollar rose to 109.80, around its highest level since June.
“The dollar has come back pretty much this year. Many have been rethinking the bearish sentiment that has been around the dollar since the middle of last year, ”said Minh Trang, senior foreign trade trader at Silicon Valley Bank. “Markets fundamentally expect the success of vaccine distribution to drive inflation higher, and to force the Fed to reconsider, and rates need to move up faster than expected. That translates to the money market. ”
Against the Swiss franc, the dollar rose to its highest level since July.
US finances rose but were kept below recent highs.
Unemployment claims fell to a low last week and President Joe Biden said he would double his vaccination plan after reaching his previous goal of 100 million views 42 a day ahead of schedule, and they both support optimism about the dollar.
The euro managed to recover from a four-month low on Thursday, although the common currency remains under pressure with doubts about the slow pace of vaccines and rising diseases.
In filling for the euro, business confidence in the eurozone ‘s largest economy hit Germany at its highest level in nearly two years in March as rising demand for manufactured goods kept factories afloat. descent through rising coronavirus diseases and locking restrictions.
The euro has come under pressure as there are concerns about the slow spread of EU vaccines and kicking with former British members over vaccine exports to be a major issue, traders said, adding not a cause for concern.
Elsewhere, bitcoin gained as much as 4%, helping to reverse some of its pullbacks from a high of nearly $ 62,000 that was rubbed earlier this month. It was last up 3.69% at $ 53,185.
Reporting by Jessica DiNapoli and Tom Wilson, additional reporting by Stanley White in Tokyo; edited by Larry King, Hugh Lawson and Jonathan Oatis