The dollar reached a 14-month high on Tuesday against its major currencies. The U.S. currency was lifted by a run in sterling and after a sudden increase in buying interest sparked by a Federal Reserve study. The dollar index .DXY jumped as much as 84.349, shining light on the July 2013 peak of 84.753. A break there will likely bring it to its highest level since July 2010, according to Reuters..
The dollar finally climbed to a six-year peak on the yen and a one-year high against the euro, reports the Economic Times.
The Australian dollar fell more than 1 percent to as low as $0.9276, trading at $0.9279. Meanwhile, sterling came close to its 10-month low of $1.6092 after concerns that Scotland could vote to secede from the United Kingdom.
Analysts at BNP Paribas wrote in a note to clients, "We expect political concerns surrounding the September 18 Scottish independence referendum to dominate price action in the near term," according to Reuters.
Tuesday's TNS poll showed a sharp increase in support for those who wish to break away from the U.K. This was only days after a YouGov poll for the Sunday Times had the "Yes" camp on 51 percent and "No" on 49 percent.
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