Dollar gains capped by concerns over Trump policies

London

THE dollar rose against the yen and euro on Thursday but the prospect of stronger US economic growth was not enough to drive the currency significantly higher as the weight of bets on a stronger greenback made some investors nervous.

While equities and Treasury yields have continued to rise, fuelled by US President Donald Trump's signals that he plans to increase public spending, expectations of a boost to growth have had a diminishing impact on the dollar in the past 10 days.

Currency market players have offered a variety of explanations for that breakdown, from concerns about Mr Trump's protectionist bent to his warning over the dollar's strength and worries about his approach to geopolitical and …