US Dollar strengthened against most major currencies at the start of Asian trading on Monday as escalating tensions in the Middle East boosted demand for safe-haven assets and pushed oil prices higher.
Hania Aamir Actor’s Appearance at Asim Azhar Concert Sparks Online Buzz
The greenback rose 0.1% against the Japanese yen to 162.48, its strongest level since July 9. Meanwhile, investors shifted toward safer assets as geopolitical uncertainty weighed on market sentiment.
The euro slipped 0.1% to $1.1426, while the British pound held steady at $1.3445. In addition, the Australian dollar eased 0.1% to $0.6975, and the New Zealand dollar fell 0.2% to $0.5833.
Westpac analysts said foreign exchange markets remained relatively calm despite growing geopolitical risks. However, they noted that the Australian dollar weakened against the US dollar and most major currencies.
The analysts added that investor sentiment deteriorated as concerns over semiconductor valuations reduced risk appetite. At the same time, tensions intensified after Iran suspended its commitments under the interim peace agreement.
Meanwhile, Brent crude futures jumped 3.3% to $90.97 per barrel in early Asian trading. Oil prices climbed after the United States confirmed it had launched a ninth consecutive night of strikes against Iran and reported the deaths of at least two US military personnel in Jordan.
Investors also continued to focus on US monetary policy. CME Group’s FedWatch tool showed an 85.6% probability that the Federal Reserve will keep interest rates unchanged at its July 29 meeting, up sharply from 61.5% a month earlier.
Furthermore, Cleveland Federal Reserve President Beth Hammack said persistent inflation could require higher interest rates, adding to expectations of a lively policy debate at the central bank’s upcoming meeting.
The US Dollar Index, which tracks the currency against a basket of six major peers, gained 0.1% to 100.84.
In cryptocurrency markets, bitcoin rose 0.2% to $64,637.89, while ether also gained 0.2% to trade at $1,869.72.
