The U.S. dollar strengthened against a basket of major currencies on Monday on the view that the U.S. Federal Reserve was still on track to hike rates this year while the European Central Bank may ease monetary policy further.
St. Louis Fed President James Bullard, meanwhile, told CNBC television on Monday there is "a powerful case to be made" for the Fed to begin to tighten policy after nearly seven years of rock-bottom borrowing costs.
Atlanta Fed President Dennis Lockhart also said Monday that he still expects the Fed to hike rates this year. Bullard and Lockhart's comments supported views the Fed would tighten policy this year after leaving rates unchanged last week.
The comments came after San Francisco Fed President John Williams said on Saturday that a 2015 U.S. rate hike was still likely.
"The Fed's talking a little bit more hawkish, the ECB's talking a little more dovish," said Douglas Borthwick, managing director at Chapdelaine Foreign Exchange in New York.