US$ firms on economic data, A$ big gainer

London

THE dollar traded around a one-month high against a basket of major currencies on Wednesday, after encouraging US economic data led investors to bet that the Federal Reserve may raise interest rates this year after all.

With a rise in stocks underpinning risk appetite, the dollar climbed to a two-week high of 114.45 yen (S$1.41). That was more than 3 per cent up from a 16-month low against the safe-haven Japanese currency two weeks ago.