Dollar rises on signs US economy is improving

AP News
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Posted: Aug 15, 2012 5:07 PM
Dollar rises on signs US economy is improving

NEW YORK (AP) — The dollar rose against most major currencies Wednesday on signs that the U.S. economy is slowly getting better.

The Federal Reserve said that industrial production rose 0.6 percent last month as factories made more cars, computers and airplanes. That's a sign that manufacturing is slowly recovering.

Consumer prices were unchanged in July from June, according to the Labor Department. The consumer price index hasn't increased since March, which means that inflation is in check.

The euro fell to $1.2290 in late trading Wednesday from $1.2330 late Tuesday. The British pound slipped to $1.5687 from $1.5690.

The dollar rose to 78.88 Japanese yen from 78.79 yen and to 0.9773 Swiss franc from 0.9741 Swiss franc. But it fell to 98.89 Canadian cents from 99.13 Canadian cents.

The dollar strengthened against the Norwegian krone, the South Korean won and the Hong Kong dollar.