Dollar gains on euro after strong US data
NEW YORK, USA – The dollar edged higher against the euro Friday, December 26, rising further on the heels of a strong US economic growth report earlier this week.
The greenback also advanced modestly against the Swiss franc and the British pound, while retreating a bit against the yen on a quiet day when many currency traders were absent after Thursday's Christmas holiday. (READ: Dollar gives up US GDP data gains in Asia)
The US currency has climbed steadily against the single currency since May on expectations the US Federal Reserve will move more quickly than other major central banks to raise interest rates.
Those expectations grew after the Commerce Department reported on Tuesday that the US gross domestic product jumped 5% in the 3rd quarter, far better than previously estimated.
"There's a difference in outlook for monetary policy in the US and Europe with the US tightening and Europe becoming more accommodative," said Saxo Banque analyst Andrea Tueni.
"The economic data are much more solid in the US than in Europe," Tueni added. – Rappler.com