Dollar ETF Climbs to 7-Month High on Rate Hike Speculation


“While Mario Draghi kept his cards close to his chest, we think he did enough to avoid a continuation of the market-driven tightening in monetary conditions triggered by the concerns over early tapering,” Bank of America Merrill Lynch told its clients in a research note,according to the Wall Street Journal.

The CurrencyShares Euro Currency Trust (NYSEArca: FXE) fell 0.5% Friday, with the euro currency now trading at $1.0869.

The EUR has a large impact on the PowerShares DB US Dollar Index Bullish Fund. UUP includes a 57.6% toward the euro currency, along with smaller 13.6% to the Japanese yen, 11.9% British pound, 9.1% Canadian dollar, 4.2% Swedish krona and 3.6% Swiss franc.

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PowerShares DB U.S. Dollar Index Bullish Fund