The U.S. dollar climbed higher against its major counterparts on Monday amid expectations the Federal Reserve will announce a series of steep rate hikes this year to combat inflation.
Worries about the ongoing war in Ukraine and a disappointing batch of economic data from China contributed as well to the dollar's surge.
The dollar index rose to a fresh two-year high of 100.86 with traders betting on hopes the Fed will increase interest rates by 50-basis points two or three times this year. The index is hovering around 100.80, up nearly 0.5% from the previous close.
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Forex News
June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.