US dollar higher on IMF remarks

Story link: US dollar higher on IMF remarks

The US dollar gained ground on Monday after comments from Rodrigo Rato, the head of the International Monetary Fund said that the dollar is undervalued.

In addition, analysts at UBS (NYSE: UBS; SWX: USBN; TYO: 8657) said that concern over the dollar would be on the agenda at the next Group of Seven meeting.

Even so, many analysts doubt that the dollar’s rally will continue for an extended period.

The greenback added 0.3 percent to ¥117.36 in relation to the yen, while it gained 0.4 percent to $2.0351 against sterling and jumped 0.6 percent to $1.4050 versus the euro.

The Canadian dollar dropped 0.6 percent to C$0.9860 to the dollar, while the Australian dollar dropped 0.4 percent to $0.8941 versus the greenback after hitting a 23-year high at $0.90 to the dollar earlier in the session.

The Aussie, however, added 0.2 percent to ¥105.18 in relation to the yen.

Sterling, meanwhile, gained just a bit versus the euro to £0.69 on better than expected manufacturing output figures in September and much higher than anticipated input producer prices.