Norwegian Crown Strengthens as Dollar Remains High and Central Bank Raises Rates
The US dollar remained near a two-month high after the Federal Reserve Minutes indicated the possibility of more rate hikes and strong US economic data. The Norwegian crown rose from six-week lows against the dollar and euro after Norges Bank raised interest rates and signaled another hike in September. The Australian dollar sank to a nine-month low following unexpected employment data, raising speculation that the Reserve Bank of Australia may halt interest rate hikes. The yen edged higher due to interest rate differentials between the US and Japan, while the euro and sterling remained relatively flat.