The dollar index extended gains to hit a fresh 4-month high of 93.2 on Tuesday, as Treasury yieds continue to soar amid expectations of a swift economic recovery in the US on the back of further fiscal spending and fast vaccine rollout. President Joe Biden will release details this week about his proposal for federal investments in physical infrastructure and more on healthcare and childcare is expected later in April.

Also, the New York state announced people aged 30 and older could get the vaccine starting March 30th and President Biden unveiled a plan for further vaccine expansion. The most pronounced buying activity was against the yen with the dollar climbing to a one-year high against the Japanese currency and the euro, as the eurozone economy remains weak and the vaccine rollout has been sluggish.