The US dollar had another positive day yesterday even though there was little data of its own to go on. The only piece from the country was the mildly influential job openings figure, which were as expected. It was continued speculation and expectations of an interest rate rise in the US that drove markets, thanks to the recent encouragement from various sectors. As a result, the dollar reached its highest level in 6 years against the Japanese yen, whilst extending the 14 and 10-month highs against the euro and sterling respectively.
Today remains quiet in terms of major releases, with just crude oil inventories and bond auctions liable to have some impact. Continued positivity from these could add to the existing strength of the dollar, which has seen a 5% positive movement against sterling in the past 3 weeks, as hopes of a US interest rate increase and the possibility of a ‘YES’ vote for Scottish Independence.