Dollar steady as traders await progress on Middle East peace talks

The ​U.S. dollar steadied on Tuesday as markets took a wait-and-see approach to Middle East peace talks, with Lebanon ‌announcing a limited ceasefire between Hezbollah and Israel, although broader geopolitical uncertainties kept traders on edge. Investors have treated any progress toward ending the Iran conflict with caution, given the fragility of a U.S.–Iran ceasefire struck in early April. The dollar index, which measures the currency against six peers, eased from earlier gains after the ​Lebanon announcement on Monday. While the agreement signalled a degree of de-escalation, it remains limited against the backdrop of a wider regional ​conflict that has disrupted oil flows through the Strait of Hormuz.