US$ recovers some ground after 5 days of falls

London

THE US dollar rebounded on Wednesday after falling for five days in a row against its currency basket, as investors awaited a speech by the head of the Federal Reserve later in the day and looked to US inflation data for clues on the path of interest rates.

After a volatile Tuesday on which sterling rose more than 3 per cent for its best showing against the dollar since at least 1998, currency markets were calmer on Wednesday, with most of the previous day's moves reversing some of their course.