Dollar firms as US-Iran hostilities flare, yen steadied by intervention risk
The dollar started Friday’s Asian session on a firm footing against most major currencies after renewed hostilities broke out between the US and Iran, while the Japanese yen held largely steady following fresh verbal jawboning from Tokyo. The US and Iran exchanged fire and traded barbs again on Thursday, piling fresh pressure on a fragile month-long ceasefire as Iran reviews Washington’s proposal to end the war. Oil prices jumped, with US crude futures rising as much as 3% in early trading, adding to the risk-off mood in currency markets. The dollar index measured against key peers was a touch firmer at 98.235. The rising tensions lifted the greenback for a second day from an over two-month low struck early in the week on hopes of a peace deal, putting it on track to finish the week largely flat.