The US Dollar Index reverses early gains as stability in the Strait of Hormuz reduces safe-haven demand for USD.
The US Dollar Index (DXY) fell to near 99.15 during European trading, erasing earlier gains. The index had climbed to 99.45 in the Asian session, its highest level in over five weeks, before retreating.
Market sentiment shifted as reports of reduced tensions in the Strait of Hormuz eased geopolitical concerns. The DXY tracks the greenback against six major currencies, often reacting to risk sentiment and safe-haven flows.
No immediate market reaction was specified, but the reversal suggests a pullback in demand for the dollar as a safe asset.