The euro and the British pound fell to a one-month low once morest the safe-haven US dollar on Friday, as investors grew increasingly concerned regarding a further economic slowdown following Federal Reserve officials reiterated their statements that a hike in interest rates is needed.
The dollar index rose 0.2% to 107.69 following earlier touching 107.74, its highest level since July 18. The index is on track to achieve a rise of 1.9% this week, which is its best weekly performance in ten weeks.
The euro settled at $1.0084, following touching its lowest level since July 15. Sterling fell 0.4% to a one-month low of $1.1882.
James Bullard, President of the St. Louis Federal Reserve, said he was leaning toward a third consecutive rate hike of 75 basis points in September, while San Francisco Fed official Mary Daley said a 50 or 75 rate hike would Next month’s basis will be “reasonable”.
