|02:40 EDT||FX Update: The dollar has rallied against the euro|
FX Update: The dollar has rallied against the euro, other European currencies and most Asian currencies. USD-JPY has been comparatively steady today, having rallied above 120.50 yesterday. Japanese markets remained closed today. EUR-USD, meanwhile, has dropped further into two-week low territory in making a low of 1.1163, extending yesterday's dollar-driven decline in the wake of hawkish remarks from Fed's Bullard and, to a lesser extent, Lacker. Bullard, presently a non-FOMC voter, said that there is a "powerful case to be made" for rate lift-off. This contrasted with ECB's Praet, who said in remarks after the European close that the central bank would "forcefully" react should the inflation environment worsen. BoE's Cunliffe, meanwhile, said UK growth was "pretty robust" but said there were no price pressures and highlighted global growth risks. Cable has logged a six-day low at 1.5480. AUD-USD managed to hold up comparatively well, aided by mostly firmer Asian stock markets, and perky Australian house prices and consumer confidence data. The pair recovered from a one-week low of 0.7121, subsequently settling around 0.7145.