The U.S. dollar firmed against its peers on Monday as rising prospects of the central bank hiking interest rates by 50 basis points in May and increasing possibility of further hikes in subsequent months pushed up the demand for the currency.
Worries about a surge in coronavirus cases in China and likelihood of fresh lockdown measures in Beijing contributed as well for the dollar's uptick.
The dollar index climbed to a fresh 25-month high of 101.86 in the New York session. At 101.73, the index was up 0.5% from the previous close.
Against the Euro, the dollar is trading at $1.0713, gaining more than 0.8%.
The dollar is at $1.2743 against Pound Sterling, firming from $1.2838.
The dollar is trading at 128.05 yen, weakening from 128.55 yen. Against the Aussie, the dollar traded at 0.7179, gaining from 0.7243.
The Swiss franc weakened to 0.9597 a dollar from 0.9572. The Loonie eased to 1.2737 a dollar as oil prices fell on weak outlook for energy demand.
