U.S. dollar rises against sterling, euro on Brexit worries

The U.S. dollar increased against the British pound and the euro on rising market concerns that Britain may leave the European Union (EU) this summer.

London Mayor Boris Johnson, a heavyweight conservative, announced Sunday that he will back the call for Britain to leave the bloc in a national referendum in June on the country's EU membership.

The announcement was regarded by the British media as a blow to Prime Minister David Cameron's efforts to keep Britain in the EU as Johnson was an eloquent speaker and popular among voters.

The sterling and euro plunged 1.8 percent and 0.94 percent, respectively, against the greenback Monday in the wake of the announcement.

The U.S. dollar rose against most major currencies Monday. The dollar index, which measures the greenback against six other currencies, was up 0.80 percent at 97.369 in late trading.

In late New York trading, the euro fell to 1.1027 U.S. dollars from 1.1132 dollars of the previous session, and the British pound decreased to 1.4147 U.S. dollars from 1.4352 dollars. The Australian dollar went up to 0.7229 U.S. dollar from 0.7143 dollar.

The dollar bought 112.79 Japanese yen, higher than 112.51 yen of the previous session. The dollar moved up to 0.9987 Swiss franc from 0.9895 Swiss franc but declined to 1.3713 Canadian dollars from 1.3781 Canadian dollars. Endit