Dollar climbs with the Fed’s hint of more interest rate hikes

The dollar made significant gains on Thursday after the Federal Reserve raised interest rates by half a percentage point, in line with most expectations, and policymakers expected more hikes and keeping interest rates higher for longer than previously hoped.

According to “Reuters”, Federal Reserve Chairman Jerome Powell indicated the Open Market Committee’s determination to calm inflation despite the risks of recession, and said that the interest rate is expected to exceed five percent.

The euro fell 0.29 percent to $1.0651, while the pound sterling fell 0.34 percent to $1.2386.

The New Zealand dollar fell 0.3 percent to $ 0.6440, and against the Japanese yen, the dollar rose 0.17 percent to 135.705.

Against a basket of currencies, the US dollar index rose 0.22 percent to 103.89. But it is still not far from its lowest level in six months, which it recorded in the previous session.

The Australian dollar fell 0.55 percent to $ 0.6826

The Chinese yuan in foreign transactions fell 0.3 percent to 6.9643 per dollar.