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The US dollar fell against major currencies on Wednesday after upbeat data around the world soothed worries about the health of the global economy, boosting investors' appetite for riskier assets. The euro climbed above $1.2850 and the Australian dollar soared 2 percent versus the US currency as stocks and commodities rallied amid reduced fears of a renewed global slowdown.
In midday trading, the ICE Futures US dollar index, which tracks the greenback versus a basket of six currencies, fell 0.9 percent to 82.490. The euro rose 0.9 percent to $1.2798. The Australian dollar jumped 2.1 percent to US $0.9090. It had earlier hit a session peak of US $0.9098, the highest in three weeks, after Australian gross domestic product data revived expectations of a further rise in interest rates.
Against the yen, the dollar rose 0.4 percent to 84.49 yen. It had earlier hit a session low of 83.69 yen, according to Reuters data, within striking distance of a 15-year low of 83.58 set on electronic trading platform EBS last Tuesday. The euro climbed 1.3 percent to 108.12 yen. In other trading, the dollar fell to 1.0066 Swiss francs, its lowest since December 2009. It last traded at 1.0071 francs, down 0.7 percent.

Copyright Reuters, 2010

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