Investing.com - The dollar was broadly higher against the other major currencies on Monday, as fresh hopes for an upcoming rate hike by the Federal Reserve lent support to the greenback.
EUR/USD held steady at 1.1188, off a two-week low of 1.1172 hit overnight.
At the Jackson Hole symposium on Friday, Fed Chair Janet Yellen said the case for U.S. interest rate hikes has “strengthened” in recent months due to improvements in the labor market and to expectations for solid economic growth.
However, she did not indicate when the Fed would act, saying that higher interest rates will depend on incoming economic data.
Speaking shortly afterwards, Fed Vice Chair Stanley Fischer said Yellen’s speech was “consistent” with expectations for possibly two more rate hikes this year, opening the door to a September hike.
GBP/USD slipped 0.28% to 1.3102, the lowest since August 22.
USD/JPY gained 0.37% to 102.17, while USD/CHF edged down 0.10% to 0.9774.
The Australian dollar was weaker, with AUD/USD down 0.16% at 0.7552, while NZD/USD held steady at 0.7237.
Elsewhere, USD/CAD was little changed at a two-week high of 1.3006.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.10% at a two-week high of 95.58.