Dollar Surges as Iran Deal Doubts Ease, September Rate Hike Looms

The US dollar strengthened against major currencies on Friday, driven by growing confidence in the US economy and reduced uncertainty over an Iran peace deal.

The greenback rose to 158.505 yen, a 0.4% gain from Thursday's close, and was poised to rise around 0.7% for the week after falling to a 13-week low of 155.20 on Monday due to joint Japan-US intervention.

A Financial Times report citing sources close to Federal Reserve Chair Kevin Warsh suggested that a September interest rate hike is possible if inflation data remains strong, supporting the dollar's gains.

Brent crude oil prices rose to $83.55 per barrel, adding weight to Treasuries and sending yields higher.