(Reuters) The U.S. dollar rose to its highest level this year against a basket of currencies on Tuesday due to worries about political turmoil in Italy before paring some gains on a U.S. decision to withdraw from the international nuclear deal with Iran.
Traders, however, downplayed the market significance of the move.
“This was probably going to happen. Overall it doesn’t change the story on dollar strength with the Fed rate hikes and a hiccup in Europe,” said John Doyle, vice president of dealing and trading at Monex in Washington.
