Investing.com – The U.S. dollar was broadly higher against its major counterparts on Wednesday, as a proposed extension of tax cuts fuelled increased growth expectations for the U.S. economy.
During European afternoon trade, the greenback was up against the euro, with EUR/USD shedding 0.40% to hit 1.3207.
Earlier in the day, official data showed that German industrial production rose significantly more-than-expected in October, led by demand for investor goods, such as machinery.
But the greenback was down against the pound with GBP/USD rising 0.11% to hit 1.5777 after the Confederation of British Industry said U.K. industrial orders rose to a two year high in December.
Elsewhere, the greenback was up against the yen and the Swiss franc, with USD/JPY surging 0.68% to hit 84.07 and USD/CHF adding 0.15% to hit 0.9891.
Earlier in the day, official data showed that Japanese core machinery orders fell unexpectedly in October, declining for the second straight month.
Meanwhile, the greenback was down against its Canadian counterpart but up against its Australian and New Zealand cousins, with USD/CAD slipping 0.04% to hit 1.0119, AUD/USD shedding 0.38% to hit 0.9791 and NZD/USD plunging 0.96% to hit 0.7497.
Earlier Wednesday, official data showed that the number of Australian new home loan approvals rose significantly more-than-expected in October.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.34%
The decision by U.S. President Barack Obama to extend tax cuts for two years triggered selling of fixed-income securities. The tax cuts could potentially reduce pressure on the Federal Reserve to extend its USD600 billion bond-purchase program, while boosting U.S. growth.
During European afternoon trade, the greenback was up against the euro, with EUR/USD shedding 0.40% to hit 1.3207.
Earlier in the day, official data showed that German industrial production rose significantly more-than-expected in October, led by demand for investor goods, such as machinery.
But the greenback was down against the pound with GBP/USD rising 0.11% to hit 1.5777 after the Confederation of British Industry said U.K. industrial orders rose to a two year high in December.
Elsewhere, the greenback was up against the yen and the Swiss franc, with USD/JPY surging 0.68% to hit 84.07 and USD/CHF adding 0.15% to hit 0.9891.
Earlier in the day, official data showed that Japanese core machinery orders fell unexpectedly in October, declining for the second straight month.
Meanwhile, the greenback was down against its Canadian counterpart but up against its Australian and New Zealand cousins, with USD/CAD slipping 0.04% to hit 1.0119, AUD/USD shedding 0.38% to hit 0.9791 and NZD/USD plunging 0.96% to hit 0.7497.
Earlier Wednesday, official data showed that the number of Australian new home loan approvals rose significantly more-than-expected in October.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.34%
The decision by U.S. President Barack Obama to extend tax cuts for two years triggered selling of fixed-income securities. The tax cuts could potentially reduce pressure on the Federal Reserve to extend its USD600 billion bond-purchase program, while boosting U.S. growth.