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Dollar firm as Fed ups the ante on rate hike

Published 03/02/2017, 03:30 AM
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Investing.com - The dollar held onto gains Thursday as more Fed members argued the case for a rate hike "soon."
The dollar index was up 0.13% near seven-week highs at 101.87 at 03:00 ET.
Fed member Lael Brainard, seen as a dove, on Wednesday said a rate hike would be "appropriate soon."
Earlier, Fed member Robert Kaplan also argued the case for near-term tightening.
The latest remarks seem part of concerted efforts by the Fed to bring the market on board to the idea of a March rate hike.
Investing.com's Fed Rate Monitor Tool put the odds of a March hike at over 66%.
Fed Chair Janet Yellen and deputy Stanley Fischer are due to speak on Friday.
Data Thursday showed U.S. factory activity at a 30-month high, while inflation PCE hit a four-year high.
The market is warming to the idea of a rate hike as an act of faith in the growing strength of the U.S. economy.
That idea is reinforced by the Trump administration's plans for infrastructure spending and tax cuts.
The euro remained under pressure at the $1.05 mark as political jitters persist.
The yen lost further ground against the dollar, slipping to the 114 level.

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