Dollar Strengthens on Resilient Economy and Rising Oil Prices

The US dollar remains well-supported as markets balance renewed geopolitical risks against a resilient US economy.

Brent crude has pushed higher after signs of further disruption in the Middle East, while concerns over global energy supplies keep inflation risks elevated.

With policy rates already restrictive, higher energy prices raise the prospect that the Federal Reserve may have to remain vigilant for longer, particularly if inflation expectations begin to drift higher.