» Forex - Dollar rose with better-than-expected data ahead of Bank of England and ECB rate decisions today.

The Dollar rose on Wednesday as a surprise advance in US productivity added to gains booked after a Federal Reserve official said the central bank must stand ready to raise interest rates to combat inflation. The Dollar also got a boost from data showing higher-than-expected productivity gains in the first quarter and a lower-than-expected rise in unit labor costs, which reassured investors that inflation, while rising, is not yet spiraling out of control.

Economists expect the Bank of England to hold interest rates steady at 5% when it meets on Thursday. Inflation has been a top concern in the 15-country euro zone, and markets widely expect the ECB to keep rates at 4% when it meets on Thursday.

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