The dollar has slipped back below 78 US cents as the US dollar regains its strength.

At 0700 AEDT on Wednesday, the local currency was trading at 77.70 US cents, down from 78.22 cents on Tuesday.

The US dollar pushed higher overnight after a US Federal Reserve official said interest rates should rise from mid-2015.

A slide in commodity prices and growing concerns about the Greek crisis gave the US dollar a boost, BK Asset Management, MD, Boris Schlossberg, said.

“The US dollar caught a bid today in early European trade as a slide in commodity prices, weaker UK data and growing concerns about the Greek crisis all helped to boost the greenback against its major trading partners,” Schlossberg said.

“Some analysts believe that Greece only has a few weeks left of cash in its Treasury and with the European Central Bank refusing to provide further funds, the country may be on the verge of financial disaster much sooner than the market thinks.

“That’s why, despite relatively steady trade, the euro remains under pressure as markets remain wary of the risk of fracture.”

Coming up today, Westpac will release its monthly consumer sentiment report while the Australian Bureau of Statistics will release housing finance data.

AAP