The euro rose to $1.167 on Wednesday, its highest level in three months, as the dollar fell and G10 currencies advanced. The move followed the U.S. Treasury’s decision to double the limit for repurchases of long-term notes and bonds in the next financial quarter, a step likely to increase dollar liquidity from the Treasury General Account. The measures indicated that Washington is prioritizing lower long-term yields and is prepared to increase dollar supply, strengthening currencies in the DXY dollar-index basket. At the same time, natural gas prices in Europe were rising because of supply shortages from the Middle East, keeping upside risks to inflation in place. The European Central Bank is expected to deliver more rate hikes this year to counter price growth.