Dollar Dips Amid Treasury Selloff, Middle East Tensions

The US dollar experienced a decline against major currencies on Wednesday following a decrease in the Treasury selloff. Investors were awaiting minutes from the Federal Reserve's latest policy meeting for fresh guidance amidst renewed Middle East tensions.

Markets, with limited data to analyze, looked to the Fed minutes for insight into policymakers' thinking. With Fed Chair Kevin Warsh being reticent on the rate outlook, the euro rose 0.31% to $1.1611, while the yen strengthened 0.35% against the dollar.

The stalemate in the Middle East pushed oil prices to three-week highs, maintaining inflation risks. President Donald Trump confirmed no talks with Iran, stating the Strait of Hormuz was open despite Iranian claims it was shut.