Forex News: U.S. Dollar Turns Higher Against Majors

U.S. Dollar Turns Higher Against Majors

(RTTNews) - The U.S. dollar strengthened against its major counterparts in the European session on Thursday, as minutes from the Federal Reserve's February meeting showed that the central bank would continue raising interest rates to achieve the inflation target.

The minutes noted all participants continued to anticipate that ongoing rate increases would be appropriate to achieve the Fed's dual goals of maximum employment and inflation at the rate of 2 percent over the longer run.

The minutes also revealed a "few participants" favored raising rates by 50 basis points compared to the 25 basis point rate hike that was ultimately announced.

Investors await economic data from the U.S., including GDP data for the fourth quarter and weekly jobless claims report.

U.S. treasury yields rose, with the benchmark 10-year yield touching 3.949 percent.

The greenback was up against the yen, at 134.99. On the upside, 139.00 is possibly seen as its next resistance level.

The greenback rebounded to 0.6814 against the aussie and 0.6225 against the kiwi, from its prior lows of 0.6842 and 0.6251, respectively. The greenback is seen facing resistance around 0.66 against the aussie and 0.60 against the kiwi.

The greenback firmed to a 1-1/2-month high of 1.0586 against the euro, 2-day high of 1.2014 against the pound and a 6-week high of 0.9335 against the franc, off its early lows of 1.0628, 1.2075 and 0.9290, respectively. The greenback may find resistance around 1.03 against the euro, 1.19 against the pound and 0.96 against the franc.

In contrast, the greenback pulled back against the loonie and was trading at 1.3527. If the currency slides further, 1.33 is likely seen as its next support level.

U.S. weekly jobless claims for the week ended February 18 and GDP data for the fourth quarter will be released in the New York session.

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