Dollar Strength Doesn't Deter Risk Sentiment

The US Dollar remains strong in the market, yet stocks are rising and positive risk sentiment is returning. Despite the stronger USD, investors are becoming more comfortable with risk, as evident from the increase in crypto prices.

Recently, geopolitical tensions had added a risk premium to oil prices, but now that these tensions have faded, oil is weaker in the market.

The Japanese Yen remains under pressure after the Bank of Japan (BoJ) raised interest rates to a 31-year high. However, the rate increase had already been priced into the market, leading to a weakening of the Yen.