Dollar gains on euro as ECB seen in no rush to hike rates

The dollar gained on the euro Thursday, as comments from European Central Bank chief Christine Lagarde were taken as a sign that the bank was in no rush to raise interest rares

The euro was down 0.66% at $1.0813, extending falls made after the release of the ECB statement, while the dollar index, which measures the dollar against six peers, rose 0.56% to 100.43

The European Central Bank will only start raising interest rates “some time” after it has ended its net asset purchases, ECB President Christine Lagarde said

Earlier, the ECB concluded its latest meeting with cautious steps to unwind support and avoided a hard schedule. It confirmed the direction of travel with few specifics beyond the coming months

The British pound rose to $1.3131 in early trade, its highest in a week against the dollar, after jumping 0.9% on Wednesday, its biggest daily percentage gain since June 2021, before settling down 0.47%

Meanwhile, the benchmark 10-year Treasury yield rose 12 basis points 2.812%. It rose steadily earlier this month — driven by expectations of more aggressive Federal Reserve tightening to combat inflation — and reached as high as 2.836% on Tuesday, ahead of U.S. inflation figures