EMC’s Business Finance blog

The dollar held firm versus a basket of six major currencies on Wednesday, keeping hefty gains made the day before on Federal Reserve Chairman Ben Bernanke’s warning about the inflationary threat from a weak U.S. currency.

The dollar index .DXY surged as much as 1.3 percent from Tuesday’s lows after Bernanke said dollar weakness was adding to price pressures and that the Fed along with the U.S. Treasury were carefully monitoring currency markets, suggesting greater concern in Washington and potential for dollar-buying intervention.