USD outshines its peers as Omicron escalates

COLOMBO(news1st): The US dollar reached its peak its top ranking peers today (20), this was subsequent to an indication by a US Federal Reserve Official that a first Pandemic period interest rate hike could occur in March 2022.

The dollar index, which measures the currency against six major peers, stood at 96.629, not far from the peak at 96.938 reached last month.

The Euro along with the British Pound plummeted as the British Health Minister declined to rule out the chance of further COVID-19 restrictions before Christmas, as Britain encounters a surge in Omicron cases.

The US dollar, which tends to attract demand as a safe haven, reached it pinnacle since last Wednesday (15), against the euro, sterling and the Australian dollar.

An interest rate increase will likely be warranted "shortly after" the bank ends its bond purchases in March, Fed Governor Chris Waller stated, Giving the US dollar index a tailwind.