New York foreign exchange close


Wednesday, June 9

The dollar made strong gains against the euro today as the prospect of an early rise in US interest rates prompted more money to move into the US unit.

Basically, the hedge funds are unwinding positions in the euro as the differential in rates looks set to narrow. The euro was hit the hardest, falling to $1.2040 and Y133.10. The dollar was also strong against the yen at Y110.50 while sterling retreated to $1.8275.