The dollar rose broadly on Monday, holding near a two-year high, while the Japanese yen edged up from five-month lows against the greenback as traders continued to digest the likelihood that the Federal Reserve will make fewer rate cuts next year.

The dollar rose broadly today, holding near a two-year high, while the yen edged up from five-month lows against the greenback as traders continued to digest the likelihood that the Federal Reserve will make fewer rate cuts next year.

Rising US treasury yields boosted the dollar, while the Japanese yen hit five-month lows on Monday. However, most currencies were steady due to low year-end liquidity. According to a recent report by Reuters,

The U.S. dollar hit a five-month high against the Japanese yen on Thursday on expectations the greenback would be boosted next year by policies by the incoming Donald Trump administration that are expected to boost growth and lift inflation.