The dollar rose to a more than one-month high against a basket of currencies on Wednesday, as optimism about U.S. fiscal reforms boosted sentiment in favor of the greenback.
The dollar index, which tracks the greenback against six major currencies, was up 0.48 percent at 93.41, after touching 93.607, the highest since Aug. 23.
"The dollar is rising because the market is hopeful for some positive comments in regards to progress on tax reform from President Trump," said Kathy Lien, managing director of FX strategy at BK Asset Management in New York.
"The dollar has been trading firmly throughout the day as a result of that."
U.S. President Donald Trump on Wednesday proposed the biggest U.S. tax overhaul in three decades, offering to cut taxes for most Americans but prompting criticism that the plan favors the rich and companies and could add trillions of dollars to the deficit.