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Dollar continues to push higher against euro

The US dollar pushed to its highest level against the euro in 11 months, helped by Federal Reserve meeting minutes which showed an increasing focus on inflation.

NEW YORK: The US dollar pushed to its highest level against the euro in 11 months, helped by Federal Reserve meeting minutes which showed an increasing focus on inflation.

The third straight gain for the greenback took it to US$1.3258 per euro, up 0.45 percent for the day, and capped a three-month run from the US$1.39 per euro level.

The dollar was already headed up early Wednesday after Eurostat - the official statistics agency - reported that exports from the eurozone fell 0.5 percent in June from May.

"June's eurozone trade data provided yet further evidence that the external sector remains too weak to make up for the region's feeble domestic recovery," said Jessica Hinds of Capital Economics.

Later, the Federal Reserve released minutes from its July 29-30 meeting showing policy makers increasingly at odds over how strong the US labour market is and what that means for inflation - a key issue in planning rate hikes next year.

The intensifying debate signalled an increase, albeit still measured, level of hawkish sentiment in the Fed that could speed up any rate hike.

Ian Shepherdson of Pantheon Macroeconomics said there is "still a clear hawk/dove split on the outlook for wages and inflation. The hawks are becoming more nervous, though."

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