The US dollar on Thursday reached its highest since December 2002 versus the Japanese yen on speculations interest rates will increase later this year.
However, the greenback lost some momentum versus the euro despite tentative hopes Greece is close to sealing a deal to obtain new funding.
The dollar surged to ¥124.15, but declined to $1.0311 per euro.
Macro funds betting on a September Fed rate hike have bolstered their long exposure to the currency, “the main driving force behind the rise this week,” said Yunosuke Ikeda, Head of FX Strategy at Nomura Securities.
The Greek government has started creating an agreement with its eurozone partners and the International Monetary Fund, attempting to access financial aid. However, European officials ignored the news.
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