NEW YORK/TOKYO: The US dollar strengthened and global oil prices surged after the United States launched fresh airstrikes on Iran, triggering renewed concerns over geopolitical tensions in the Middle East.
According to Reuters, the US Dollar Index, which measures the greenback against a basket of six major currencies, climbed to 101.18 in early Asian trading, its highest level since July 2, as investors sought safe-haven assets.
The dollar also gained against the Japanese yen, rising 0.1% to 162.28 yen, while the euro slipped 0.1% to $1.1405. The British pound edged lower to $1.3353, and the Australian dollar remained broadly unchanged. Meanwhile, Bitcoin fell 0.2% to $63,518 and Ether declined 0.5% to $1,774.
Oil markets also reacted sharply to the renewed conflict. According to AFP, US benchmark West Texas Intermediate crude rose 2.63% to $72.29 a barrel at the start of trading amid fears that escalating tensions could threaten energy supplies from the Gulf.
Analysts said markets remain focused on developments in the Strait of Hormuz, a vital shipping route for global oil exports. They warned that any further escalation between Washington and Tehran could push both crude oil prices and the US dollar even higher in the coming days.
