Dollar strengthens after US inflation data boosts Fed rate-hike expectations

By Chibuike Oguh

NEW YORK, Nov 10 (Reuters) - The dollar strengthened against major currencies on Tuesday after hotter-than-expected US inflation data bolstered expectations that the Federal Reserve would raise interest rates next month.

Data from the US Labor Department showed that the Consumer Price Index increased 0.4% last month, exceeding the consensus forecast of a 0.3% gain in a Reuters poll of economists.

The dollar extended its gains against a basket of currencies after the report.

The euro was down 0.33% against the dollar at $1.1186. The dollar gained 0.39% to 158.54 against the Japanese yen. Against the Swiss franc, the dollar rose 0.41% to 0.823 franc.

(Reporting by Chibuike Oguh in New York; Editing by Paul Simao)