* Dollar rises against a basket of currencies
* Euro-dollar down about a quarter percent
* Graphic: World FX rates https://tmsnrt.rs/2RBWI5E (New throughout, adds updated analyst quote)
By Jessica DiNapoli and Ritvik Carvalho
NEW YORK, March 24 (Reuters) - The dollar inched higher on Wednesday as the U.S. Treasury Secretary and Fed chair indicated to Congress that they had confidence in the U.S. economy.
The dollar index, which touched a four-month high earlier in the session, was supported by safe-haven flows even as some investors fretted over potential U.S. tax hikes.
The dollar rose against a basket of currencies to 92.5100 =USD . Yields on the 10-year Treasury fell a bit to 1.612% but remained near recent highs after an auction of five-year notes. US10YT=RR
"The dollar is set to rise further, our vaccine rollout is coming along," said Ronald Simpson, managing director, global currency analysis, at Action Economics. "Europe is sucking wind on the vaccine front."
Euro-dollar was down 0.24% at $1.1821 EUR=EBS on Wednesday.
U.S. Treasury Secretary Janet Yellen told Congress she was open to banks buying back stock and paying dividends, an updated view showing her confidence in the economy. Federal Reserve Chair Jerome Powell also said that he thinks 2021 will be a "very, very strong year in the most likely case." remain, however, such as the ongoing resurgence of COVID-19 in Europe and possible tax hikes in the United States. Inflation could also rear its head as disruptions in the supply chain exert cost pressures for manufacturers, with U.S. factory activity picking up in early March. zone business activity unexpectedly grew this month, a preliminary survey showed, but with much of Europe suffering a third wave of coronavirus infections and renewed lockdown measures, that may not last through April. index that measures the dollar's strength against a basket of peer currencies is up nearly 3% year to date, confounding widely held expectations among analysts for a decline.
The safe-haven yen JPY= rose 0.14% in afternoon trading in the United States.
Australia's dollar AUD= - considered a liquid proxy for risk - weakened further on Wednesday. The Aussie slipped to as low as $0.7582, a level not seen since Feb. 5., before recovering.
In cryptocurrencies, bitcoin BTC=BTSP gained almost 2% to $55,377, off a record high of $61,781.83.
Currency bid prices at 3:10PM (1910 GMT) Description
RIC
Last
U.S. Close Pct Change
YTD Pct
High Bid
Low Bid
Previous
Change
Session
Dollar index
=USD
92.5120
92.4090
+0.12%
2.813%
+92.6080
+92.3380 Euro/Dollar
EUR=EBS
$1.1822
$1.1850
-0.23%
-3.23%
+$1.1854
+$1.1812 Dollar/Yen
JPY=D3
108.7000
108.5750
+0.12%
+5.24%
+108.9500 +108.4750 Euro/Yen
EURJPY=
128.50
128.65
-0.12%
+1.24%
+128.8500 +128.3000 Dollar/Swiss
0.9353
0.9338
+0.19%
+5.74%
+0.9369
+0.9337 Sterling/Dollar GBP=D3
$1.3695
$1.3754
-0.44%
+0.23%
+$1.3755
+$1.3675 Dollar/Canadian CAD=D3
1.2562
1.2588
-0.20%
-1.35%
+1.2608
+1.2543 Aussie/Dollar
AUD=D3
$0.7598
$0.7626
-0.36%
-1.23%
+$0.7634
+$0.7583 Euro/Swiss
EURCHF=
1.1058
1.1067
-0.08%
+2.32%
+1.1076
+1.1057 Euro/Sterling
EURGBP=
0.8630
0.8616
+0.16%
-3.44%
+0.8645
+0.8614 NZ
NZD=D3
$0.6976
$0.7000
-0.36%
-2.88%
+$0.7008
+$0.6956 Dollar/Dollar
Dollar/Norway
NOK=D3
8.5800
8.6385
-0.81%
-0.22%
+8.6775
+8.5625 Euro/Norway
EURNOK=
10.1458
10.2389
-0.91%
-3.07%
+10.2785
+10.1271 Dollar/Sweden
8.6043
8.5824
-0.02%
+4.98%
+8.6363
+8.5795 Euro/Sweden
EURSEK=
10.1722
10.1740
-0.02%
+0.95%
+10.2040
+10.1519
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https://tmsnrt.rs/2RBWI5E
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