Home›Forex›Major Pairs›Dollar slips after US-Iran strike halt, eyes Fed and U…

Dollar slips after US-Iran strike halt, eyes Fed and US data

The US Dollar Index was around 101.20 during the Asian session, even as traders weighed risks of continued attacks in the Red Sea and potential Fed surprises this week.

Reported · Written up by our desk · Major Pairs

The US Dollar Index (DXY), which tracks the greenback versus six major currencies, fell toward the 101 area after the US paused military hostilities with Iran over the weekend, according to FXStreet.

The article said the reprieve followed 13 days of escalating conflict, but caution remains as Iran-backed Houthis in Yemen claimed responsibility for attacks on Saudi Arabian facilities along the Red Sea, raising concerns about potential supply disruptions.

FXStreet added that US strike activity was reportedly halted amid worries about depleting interceptor supplies and a shrinking list of available targets in Iran. It also cited a reported warning from Joint Chiefs Chairman General Dan Caine to President Trump that continuing the campaign could severely strain critical munitions reserves.

On the policy front, FXStreet said the Federal Reserve is widely expected to hold interest rates steady on Wednesday before resuming rate hikes in September, though a minority of traders still look for a surprise decision. Investors are also watching advance Q2 GDP data, PCE inflation figures, and earnings reports from major US corporations for more direction.

Latest closeDollar index 101.47 ▲0.0%

More like this

Sources