Greenback hits 2-week high against yen

London

THE US dollar rose to a two-week high against the yen on Tuesday ahead of testimony by Federal Reserve chief Janet Yellen, which should show whether the US central bank is on track to raise interest rates later this year.

As investors await the reaction of Germany and other eurozone leaders to reform proposals from Greece, a more subdued performance against the euro kept a lid on gains for the US dollar against a basket of currencies.

But dealers said that speculation that Ms Yellen would at least not derail expectations of a rise in US interest rates in the second half of this year had put pressure on the yen in the top half of a 116-121 yen range it has held since November. "We're still waiting on more details around Greece this afternoon and then the focus will be on Yellen," said a currency strategist with one European bank in London. "If she sends a message that is less dovish than the last Fed minutes, then we should see the dollar gain furth…