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Dollar climbs as Fed flags hikes

Published by
Reuters UK

By Tom Westbrook SINGAPORE (Reuters) – The dollar hit multi-week highs against other major currencies on Thursday, bolstered after Federal Reserve chair Jerome Powell primed investors for U.S. rate hikes beginning in March. Overnight the Fed left its policy rate unchanged but Powell foreshadowed a sustained battle to tame inflation. He told reporters there was “quite a bit of room to raise interest rates without threatening the labour market” and said the Fed was of a mind to begin lifting rates in March. The dollar leapt 0.7% against the yen in the wake of the Fed’s decision and Powell’s rema…

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