Hawkish comments lifted U.S dollar

Hawkish comments on US interest rates from Philadelphia Federal Reserve Bank President Charles Plosser lifted the US dollar Tuesday. Experts are suggesting that the US interest rates would have to rise “sooner rather than later” in order to combat inflation. The greenback rallied by nearly one and a half cents against the euro in New York trading, and advanced by one yen to close adjacent to a two-week high against the Japanese currency. But in London, sterling lost ground to the US dollar in the afternoon when Plosser’s commented.