Dollar Strengthens Amid Oil Price Surge and Middle East Conflict

The US dollar rose across the board on Monday as the ongoing conflict in the Middle East pushed up oil prices and sent investors towards the safe-haven currency.

The U.S. dollar index, which tracks the currency against six major peers, was last up 0.3 per cent at 99.41, after earlier touching 99.735, its highest since September 2.

Brent crude rose as much as 5 per cent to $109.8 a barrel before paring gains to trade at $105.61, unnerving investors and sending global bond yields back towards multi-year highs.

Currency strategist Francesco Pesole said 'Gulf developments remain concerning, and some AI-related headlines are further weighing on equities, an environment where the dollar should remain supported.'