BofA Sees U.S. Dollar Extending Rally on Inflation-Fighting Fed

  • ‘We don’t believe they can afford to wait for long this time’
  • Greenback hits the highest in over a year as short rates rise
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Bank of America Corp. says an inflation-fighting Federal Reserve could be a boon to the U.S. dollar.

As consumer prices increase by the fastest clip in three decades, the central bank may need to acknowledge that a significant part of the surge reflects an overheating economy, strategist Athanasios Vamvakidis wrote in a note Tuesday.