Reported 9 months ago
The US dollar surged to its highest level since November as the Federal Reserve diverged from other central banks by maintaining elevated interest rates, attracting global investors seeking higher bond yields. The Bloomberg Dollar Spot Index rose 0.4% to an eight-month high, reflecting the wide interest rate gap with major economies like Japan, which led to the yen plummeting to its weakest level since 1986. Despite concerns over political uncertainties and market volatility related to upcoming elections, the dollar's strength is expected to persist, with traders increasing bets on further dollar appreciation and supportive rebalancing at the end of the quarter.
Source: YAHOO