- November 29, 2022
- Posted by: Stratford Team
- Category: Economy
By Harish Sridharan
(Reuters) – The dollar held its overnight gains on Tuesday as concerns about unrest in China over COVID-19 restrictions dampened market sentiment, and as hawkish remarks from Federal Reserve officials gave the greenback an additional leg up.
Rising tensions in China over the country’s stringent pandemic measures sent investors flocking to the safe-haven dollar, triggering a slide of more than 1% in the Aussie, kiwi and sterling overnight.
The euro, which surged to a five-month peak of $1.0497 overnight, later reversed those gains following a rebound in the U.S. dollar. It was last marginally lower at $1.0339.
European Central Bank President Christine Lagarde said overnight that euro zone inflation has not peaked and it risks turning out even higher than currently expected, hinting at a series of interest rate hikes ahead.
Flash euro zone inflation figures for November are due on Wednesday, with economists polled by Reuters expecting…