Forex
Home›Forex›Major Pairs›USD strengthens as US yields rise amid renewed Iran fi…
USD strengthens as US yields rise amid renewed Iran fighting
The greenback moved higher against major currencies, with its biggest gains versus the NZD and CHF, as the 10-year Treasury yield climbed to 4.8%.
Risk sentiment soured at the start of September after renewed fighting involving Iran, lifting US Treasury yields and pushing the US dollar higher, according to Forexlive. The outlet said crude oil surged above $90 on renewed concerns about Middle East supply disruptions, including activity near the Strait of Hormuz. The combination of higher energy prices and data pointing to slower growth with limited cost relief added to inflation worries, which the report said kept markets focused on the Fed.
Forexlive reported that the 10-year Treasury yield rose to 4.8%, extending above 4.75% and narrowing the gap to the psychologically important 5% level. It also said yields moved higher across the curve, with shorter and intermediate maturities leading the increase.
Against the backdrop of higher yields, the report said the dollar advanced against all major currencies, with its largest gains versus the NZD and CHF, while the EUR held up best but still fell. US stocks also declined, with the Nasdaq and Russell 2000 leading the losses.
Latest closeWTI crude $90.79 ▲5.9%|Nasdaq Comp. 26,099.77 ▼1.0%|Russell 2000 2,920.13 ▼1.2%