Geopolitical tensions and expectations of tighter US monetary policy support the US Dollar Index at 100.10.
The US Dollar Index (DXY) remains steady at 100.10 in Asian trading, reflecting investor caution amid escalating Middle East tensions and rising bets on Federal Reserve rate hikes. The index measures the USD against six major currencies, including the euro and yen.
Prior sessions saw the DXY fluctuate between 99.80 and 100.30, as markets priced in stronger-than-expected US economic data and hawkish Fed commentary. Comparable periods of geopolitical uncertainty have historically bolstered the dollar as a safe-haven asset.
Traders are closely monitoring upcoming US inflation data and Fed speeches for further clues on monetary policy direction.