The dollar rose in Forex Trading against most of its most-traded counterparts after reported comments by U.S. Treasury Secretary Timothy F. Geithner suggested he sees no need for further weakness in its currency.
The greenback gained after the Wall Street Journal cited Geithner as saying major currencies are “in alignment” and he’ll work to persuade leaders at Group of 20 meetings that the U.S. is not trying to weaken the dollar.
Australia’s dollar pared yesterday’s surge after Chinese data added to the case for Asia’s biggest economy to take more tightening measures.
The dollar rose to as high as 81.83 yen before trading at 81.19 yen as of 1:58 p.m. in Tokyo from 81.09 yen in New York yesterday. It touched 80.85 yesterday, the weakest since April 1995, when the post-World War II low of 79.75 was set. The dollar gained to $1.3912 per euro from $1.3964. The yen traded at 112.94 per euro from 113.23.
The yen remains stronger than the 82.88 per dollar level it reached on Sept. 15 when Japan acknowledged selling the currency to help its export-dependent economy.
G-20 nations’ finance ministers and central bankers meet this week in South Korea to discuss currencies, government stimulus efforts and other economic policies. Geithner will use the meetings to help “rebalance” the world economy to be less reliant on U.S. consumers, the Journal said, citing an interview.