The dollar is trading near a four-month high last week against its major counterparts as traders prepare for a key reading on US consumer inflation this week, as well as a parade of Federal Reserve spokesmen, including Federal Reserve Chair Jerome Powell on Thursday.
Bitcoin rose to an all-time high as Donald Trump’s victory in the US presidential election coupled with the election of pro-cryptocurrency candidates to Congress spurred expectations of a light regulatory environment.
The Republican Party is close to sweeping both houses of Congress, as it won the Senate on election night, with Edison Research predicting that the party will so far obtain 214 of the 218 seats required to control the House of Representatives, compared to 205 for the Democrats.
Investors expect Trump’s second term to bring stock-boosting tax cuts and regulatory relief.
Bitcoin, another notable “Trump deal,” extended its record run to reach an all-time high of $81,899.22.
Trump pledged to make the United States “the cryptocurrency capital of the planet.”
The dollar index, which measures the currency against six major currencies, rose slightly to 105.06 after rising 0.55% on Friday.
Traders will be watching consumer price data on Wednesday for any fluctuations that could spoil the chances of a rate cut at the next meeting in December.
