Economic Strength Boosts Dollar

The dollar rose sharply Thursday, erasing its decline from a day earlier in a rally driven by new evidence of U.S. economic health that suggested the Federal Reserve would raise interest rates March 25.

Demand for the dollar overcame the depressing effects of a sharp decline in the U.S. stock and bond markets, where the evidence of economic strength was viewed as an inflation warning.

“Today was a pure dollar move, about as pure as you get,” said Ben Strauss, a senior foreign exchange trader at Bank Julius Baer & Co. in New York.

Currency in Dollar in foreign Exchange Dollars currency Canada .7236 1.3650 France .1739 5.7520 Germany .5863 1.7056 Great Britain 1.5974 .6260 Italy .000589 1697.00 Japan .008103 123.41 Mexico .125078 7.9950