Bernanke comments bolster rate rise expectations
The dollar has enjoyed gains after reports that the Federal Reserve would continue with its rate-rising plans.
This morning the dollar stood at 1.7444 against the pound and at 1.1907 to the euro.
Movement followed suggestions that the latest minutes from the Fed would reveal backing for the rate rise policy that characterised the stewardship of former chairman Alan Greenspan.
With Federal Reserve chairman Ben Bernanke already warning that US economic growth would be coupled with interest rate hikes, the speculation is that the minutes will support calls for sustained adjustments.
The Bank of Tokyo Mitsubishi's strategist Derek Halpenny told Bloomberg that he believed the signs were increasingly clear.
"After Bernanke's testimony, the market is clear that the direction of US rates is higher,'' he declared.
The US has enjoyed 14 successive rate rises, with the interest rate currently pegged at 4.5 per cent.