Dollar Advances With September Taper Seen Intact; Lira Slumps

The dollar gained against the majority of its 16 most-traded peers as a worse-than-forecast U.S. report on durable goods failed to damp speculation the Federal Reserve will start cutting bond purchases next month.

The Bloomberg U.S. Dollar Index pared an advance after after Secretary of State John Kerry said the president will hold Syria’s government accountable for the “moral obscenity” of using chemical weapons. The Turkish lira dropped to the weakest level on record as the central bank provided funds to banks at its benchmark rate for the first time in six days. The Mexican peso slumped the most among the major currencies on concern Fed tapering will speed the flow of cash out of emerging economies.