Forex- U.S. Dollar Rallies Against Other Currencies

© Reuters. The U.S. dollar rallied on Wednesday. – The U.S. dollar was higher against other major currencies on Wednesday, as it recovered from earlier losses.

The , which measures the greenback’s strength against a basket of six major currencies, was up 0.64% to 90.09 by 11:59 AM ET (16:50 GMT).

The dollar had risen after global equity markets fell on Friday following the release of strong U.S. employment data, which sparked concerns over rising inflation, sending bond yields sharply higher.

The index was particularly hit on Monday, when it recorded its worst daily point drop in history. Equities rebounded on Tuesday, which pressured the greenback after it had benefited from the sharp sell-off.

Elsewhere the euro and the pound were lower, with down 0.78% at 1.2280 and with falling 0.53% to 1.3872.

The yen struggled to gain steam, with down 0.06% at 109.48, while surged 0.80% to 0.9437.

Elsewhere, the Australian and New Zealand dollars were lower, with declining 0.81% to 0.7841 and with sliding 0.84% to 0.7280.

Market participants were looking ahead to the RBNZ’s monthly policy decision, due early Thursday. The central bank was expected to leave interest rates on hold at .

Investors will especially be focusing on the RBNZ’s policy statement for potential indications on the central bank’s future policy moves.

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