Business News

TOKYO, (APP/AFP) – The dollar extended its gains
in Asia Monday on the back of comments from Federal Reserve boss Janet Yellen that bolstered speculation that a US rate hike was drawing closer.
America’s top central banker said Friday that activity in the
powerhouse economy appeared set to accelerate and the labour market would continue to strengthen, and added that increase in interest rates would likely happen “in the coming months.”
“The message from the Fed remains that a rate hike is getting
closer,” said Shane Oliver, head of investment strategy at Sydney-based AMP Capital Investors.
On Monday, the dollar rose to 110.95 yen from 110.37 Friday in New
York, while the euro weakened to $1.1103 from $1.1113.
The European single currency rose to 123.19 yen from 122.65 yen.
The greenback was also broadly higher against a basket of emerging
market units including the Malaysian ringgit, Indonesian rupiah, Thai baht and Philippine peso.
The South Korean won dropped one percent against the dollar.
A US rate hike would tend to boost the greenback against other
currencies as investors flock to dollar-denominated assets.