Dollar Soars, Yen Suffers Largest Weekly Decline Since May

The US dollar is poised to post its biggest weekly gain since mid-June due to rising oil prices and inflation fears.

This upward momentum has pushed the dollar index, which measures the greenback against a basket of currencies, up nearly 0.7 percent for the week, on track for its biggest weekly gain in five weeks.

In contrast, the yen is set to experience its largest weekly percentage decline in over two months as it continues to languish at 40-year lows despite Japan's pledges to stabilize the currency.

The dollar has been strengthening against the Japanese yen, with Thursday's high of 163.98 marking its strongest level since November 1986.