The U.S. Dollar firmed against most major counterparts, with the gains especially strong against the EUR, amid continued worry about Greek debt and further signs that Germany's economic recovery may be losing momentum.
USD - The Dollar Turns Positive after TIC Data
The U.S. Dollar traded higher on Wednesday vs. the European currency as worries over Greece's fiscal problems increased. The U.S currency has strengthened on optimism the U.S. recovery will outpace that of other nations, increasing demand for Dollar denominated assets. The Dollar appreciated against most of its major counterparts as the outlook for Europe's economy discouraged demand for risk.
The U.S Dollar got a boost after Treasury data showed net capital inflows to U.S. assets rebounded in November. It was last up 0.6% at 91.21 yen well off an earlier 4 week low of 90.32 following news that Japan Airlines would file for bankruptcy protection from some $25 billion in debt.
The greenback also rose 0.7% against its Canadian counterpart to C$1.0325 after the Bank of Canada held rates steady and slightly lowered its growth outlook, saying a strong currency remains a risk to recovery.