Dollar edges up before Powell's testimony

Tuesday,   17-Jul-2018   09:14 AM (IST)

The dollar slightly gained against its major peers on Tuesday, as investors awaited Federal Reserve Chairman Jerome Powell's first congressional testimony for any clues on the pace of U.S. interest rate rises.Powell will testify on the economy and monetary policy before the U.S. Senate Banking Committee at 1400 GMT on Tuesday, followed by a testimony at the same time on Wednesday to the House of Representatives Financial Services Committee.Powell is likely to reaffirm the Fed's gradual monetary tightening policy in his testimony, although any suggestion of caution on trade could put a dent in the market's appetite for risk.In early trading on Tuesday, the dollar edged 0.02 percent higher against a basket of six major currencies to 94.529 (DXY).The dollar strengthened 0.2 percent against the yen to 112.41 yen , ticking up to a six-month high of 112.80 yen reached on July 13. Japanese markets reopened after a holiday on Monday.The dollar's gains have this year been capped by worries over the intensifying trade dispute between the United States and China, although the concerns have not derailed the greenback's solid performance so far.On Tuesday, the Australian dollar edged 0.1 percent lower to 0.7414 cents per dollar. The euro was nearly flat against the dollar, changing hands at $1.1709.