The dollar index reached a 20-year high on Thursday and reached a 24-year peak once morest the interest rate-sensitive Japanese yen following US data showed that the economy is strong and resilient, giving the US central bank more room for a sharp interest rate hike to curb hyperinflation.
The dollar strengthened following a government report showed that the number of Americans who filed for unemployment benefits fell further in the past week in line with the strong demand for labor.
The report also showed that layoffs decreased in August despite a sharp interest rate hike that increases the risk of a recession.
The dollar index, which measures the performance of the US currency once morest a basket of six currencies, rose 0.873 percent to 109.81 by 1445 GMT, its highest level since June 2002.
The euro fell 1.24 percent and fell below the level of parity with the dollar to 0.9931 dollars, while the sterling pound reached a new low in two and a half years, recording 1.1522 dollars, and the rate of decline in the latest trading was regarding 0.86 percent. The dollar, which is considered a safe haven, was also supported by aversion to risk assets.
The Japanese yen fell as much as 140.225 yen once morest the dollar, its lowest level since 1998. The dollar rose in the last trading 0.71 percent to 139.94 yen.
The risk-sensitive Australian and New Zealand dollars also saw a sell-off in haven assets and reached their lowest levels since July.
The Australian dollar fell 0.77 percent to 0.67905 and the New Zealand dollar fell 0.78 percent to $0.6072.
The cryptocurrency Bitcoin, which is affected by the appetite for risk, fell below 20 thousand dollars.
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