The dollar on Wednesday climbed from its lowest level in more than three months as investors consolidated positions after four days of losses, supported by data showing the world’s largest economy grew faster than initially thought in the third quarter. The greenback rose against most currencies except the Swiss franc and New Zealand dollar. In November, however, the dollar remained on pace to post its biggest monthly decline in a year, weighed down by expectations of Federal Reserve rate cuts by the first half of 2024.
The dollar extended gains on news that U.S. gross domestic product increased at a 5.2% annualized rate in the last quarter, faster than the previously reported 4.9%. It was the fastest expansion since the fourth quarter of 2021, the U.S. Commerce Department said in its second estimate of third-quarter GDP.