Oil Price Surge Sets Stage for US Dollar Uptick

The US dollar is expected to gain ground in coming days as rising oil prices weigh on broader market sentiment and boost demand for safe-haven assets.

Recently, a sharp rebound in the Japanese yen fueled speculation that Japanese authorities might intervene in currency markets, putting downward pressure on the greenback. However, this trend may reverse soon, given the current surge in oil prices following US President Donald Trump's rejection of Iran's proposal to reopen the Strait of Hormuz.

Meanwhile, other major currencies, such as the pound (GBP), euro (EUR), Canadian dollar (CAD), Australian dollar (AUD), and New Zealand dollar (NZD), have experienced varying degrees of volatility due to factors like UK economic calendar events, Eurozone data releases, and central bank decisions.