The US dollar remained strong
in global currency markets and moved close to a two-month high amid ongoing
tensions between the United States and Iran and rising oil prices. Investors
are also closely watching key economic data from the United States and other
major economies due this week. The euro
and British pound both weakened by 0.1% against the dollar, with the euro
trading at $1.1379 and the pound at $1.3232.
Both currencies remained near multi-month lows. The Dollar Index,
which measures the US currency against a basket of major currencies, stood at 101.15,
up slightly, and is on track to gain around 1.7% in September,
which would mark its strongest monthly increase since June.
Meanwhile, oil prices also
rose by more than 1%, with Brent crude surpassing $106 per barrel.
The US-Iran conflict and uncertainty surrounding the Strait of Hormuz have
heightened concerns over global energy supplies. Investors are also focusing on the US Federal
Reserve’s future policy amid inflation concerns and signs of economic
resilience. Expectations of higher interest rates have provided additional
support to the dollar. Markets will be closely watching US inflation and
employment data this week, while economic figures from China, Japan, and the
eurozone will also be important for investors.
The Japanese yen fell 0.3% to 157.7
per dollar, while the Australian dollar declined
0.07% to $0.7017. The New Zealand dollar
remained stable at $0.5661.