Dollar Scales 3-month Peak as Powell Flags Higher Rates

Dollar Scales 3-month Peak as Powell Flags Higher Rates
U.S. one hundred dollar notes are seen in this picture illustration taken in Seoul on Feb. 7, 2011. Lee Jae-won/Reuters
Reuters
Updated:

LONDON—The dollar scaled multi-month highs against most other major currencies on Wednesday, after Federal Reserve Chair Jerome Powell warned that U.S. interest rates might need to go up even faster and higher than expected to rein in stubborn inflation.

Higher rates benefit the dollar by improving its yield and as traders look for safety while global stock markets drop.