The euro climbed to a five-month high against the dollar on Tuesday, reaching $1.0954, as Germany's parliament prepared to vote on a major borrowing increase aimed at supporting economic growth. The move has driven European sovereign yields higher, attracting capital flows into the euro and pound sterling. Meanwhile, the dollar rose to a two-week high of 149.88 yen ahead of policy meetings by the Federal Reserve and the Bank of Japan. Analysts expect the Fed to maintain its stance amid persistent inflation concerns, while the BoJ will assess risks from US trade policies. The dollar index slipped 0.12 per cent to 103.28, down 6 per cent from its January peak. Investors are also watching potential Russia-Ukraine peace talks, which could further support the euro. Bitcoin fell 0.8 per cent to $83,272. Attribution: Reuters Subediting: Y.Yasser
