Dollar Surges Amid Oil Price Gains and Fed Rate Hike Expectations

The US dollar has surged to a near two-week high, driven by rising oil prices and increased expectations of an imminent Federal Reserve interest rate hike.

This movement has reinforced forecasts that a rate hike is on the horizon, putting pressure on global markets.

The dollar's gain in strength was also influenced by diminished risk appetite following declines in stock markets, particularly in AI-related shares.

Rising oil prices have added to inflation expectations, with geopolitical tensions contributing to market volatility.