The US dollar index continues to climb, heading higher as better economic news remains the dominant storyline for the greenback. The latest economic news and forecast released by the Federal Reserve indicates a number of positive changes, and that is good for the US dollar as it moves against its counterparts.
Recently, the Federal Reserve released information about its economic outlook, including specific news for different regions. The news is somewhat encouraging, focusing on better retail sales in various categories, increased spending (including by businesses), and an increase — albeit small — in wages for many workers. With the economy improving and the labor market improving, many speculate that the Fed will raise rates sooner rather than later, and that is helping the US dollar.
Indeed, the dollar index is once again heading higher today. The greenback is higher against the euro, and against the yen, two major components of the dollar index. Even though the dollar is down against the UK pound, the index itself is improving in performance.
At 11:48 GMT the US dollar index is up to 88.8630 from the open at 88.6170. EUR/USD is lower, falling to 1.2353 from the open at 1.2383. GBP/USD is up to 1.5687 from the open at 1.5676. USD/JPY is up to 120.6080 from the open at 119.7870.
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