U.S. dollar jumps across the board after Fed minutes

The U.S. dollar surged against all major currencies on Wednesday after minutes of the latest Federal Reserve policy meeting showed the central bank was gradually altering its stance into a more hawkish one.

The minutes showed that FOMC members saw labor-market progress and increases in inflation accelerating in a manner that was bringing conditions closer to normal or to those before the financial crisis.

The U.S. dollar gained 0.85% against the yen to 103.770 yen, the highest since April 4.

The Euro fell 0.43% against the dollar to $1.3264, the lowest since September 13.

There were clear disagreements regarding how much slack remained in the labor market, a key gauge along with consumer prices, that the Federal Reserve uses to assess the state of the U.S. economy.

Amid growing debate among committee members, the Fed appears to be shifting away from a dovish view and toward a more balanced one, in the process sounding more hawkish than it did before.

The U.S. central bank is shifting closer to a point when it will consider raising interest rates, which would boost notably the dollar.

Investors are looking ahead to the Jackson Hole gathering of global central bankers, where Federal Reserve Chairwoman Janet Yellen will speak Friday.

The market is seeking further indications that the central bank is shifting its thinking about the U.S. economy and its schedule for raising rates.

Higher interest rates would benefit the dollar, as investors would receive greater returns from dollar-denominated assets.

The dollar index, which compares on a weighted basis the dollar against a basket of six of the most heavily traded currencies, gained 0.4% on the day to 82.23, reaching its highest point since September as well.

In addition, the dollar gained against the British pound, reaching its strongest level in four months, at $1.65974, and versus the Swiss franc, at 0.91318 franc, the highest level since January 23.