The dollar index, which measures the greenback against a basket of currencies, rose by 0.15% to 103.02, the highest since April 2025. (EPA Images pic)TOKYO: The dollar climbed to a 19-month high against major peers on Thursday, supported by growing expectations of a Federal Reserve rate hike, while the yen edged toward the key 160-per-dollar level following a dovish central banker's speech.
Traders ramped up bets on further Fed tightening after stronger-than-expected October inflation data and a series of hawkish remarks from US central bank officials, who expressed concern over stubborn inflation and left open the possibility of a larger 50-basis-point increase.
Some major brokerages, including Goldman Sachs, now expect another hike early next year, in addition to one in December.
