According to the latest data released, the Dollar Index rose to its highest level since 3 August, 2012 as the US economy recorded faster job creation than expected.

The Dollar Index, which is the benchmark index of Intercontinental Exchange tracking the American currency against 6 major global currencies, rose 0.5 per cent to 82.715 this week. The index has risen for the fifth straight week, recording its strongest growth since June, 2012.

The US dollar increased 2.6 per cent against the Euro this week to 96 per yen in New York, which is its highest level since August 12, 2009. The Yen weakened as reports showed that Japan's current- account deficit increased and the central bank recommended buying longer-maturity bonds. The American currency gained, 0.1 per cent to $1.3005 per euro during the week as European Central Bank said that the region's economy may shrink more than expected.

Experts have said that the Dollar has now become a growth currency and has started moving in correlation with the equity markets. The dollar correlation moved to -0.34 in February against the MSCI World Index of stocks, which is the lowest negative rating since 2008.

The data released by the US Labor Department on Friday showed that employers added a total of 236,000 workers in February. The higher than expected level of job creation was recorded as the business in the construction sector added jobs during the month.