The dollar climbed to a two-week high against a basket of currencies on Friday, as stronger-than-expected US economic data appeared to boost expectations the Federal Reserve may raise interest rates more than once this year. The move was the best two week-gain for the dollar since late February. The greenback also rose for a second straight session versus the yen, while touching a two-week high against the euro.
Data on Friday showed US retail sales gained 1.3 percent in April, the largest rise in more than a year, suggesting the economy was regaining momentum after growth almost stalled in the first quarter. Excluding automobiles, gasoline, building materials and food services, retail sales shot up 0.9 percent last month after an upwardly revised 0.2 percent gain in March. The greenback suffered a sharp sell-off in the first four months of 2016, hitting a 16-month low, as market expectations of at least two Fed rate hikes this year faded amid fears about a global economic slowdown and financial market turbulence.
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