Dollar Strengthens as Yields Surge and Fed Bets Build

The US dollar is poised to record its first back-to-back weekly gains in over three months due to surging Treasury yields and increasing bets on further Federal Reserve rate hikes.

This has resulted in a strengthening of the greenback, pushing the euro to a two-month low of $1.1370 and putting it on track for its third consecutive weekly decline.

The dollar index, which measures the US currency against a basket of peers, has climbed more than 1% this week to a two-month high, marking its first back-to-back weekly gains since June.