Tensions between Washington and Tehran support the dollar.. Yen near 40-year low

23 July 2026 - 09:35 | Last update 23 July 2026 - 09:35

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Okaz (Jeddah)

The dollar stabilized to a large extent today, as tensions between Washington and Tehran boosted demand for the currency, which is considered a safe-haven asset, while the yen remained near its lowest level in 40 years with little indication of a change in direction.

The dollar index, which measures the performance of the US currency against a basket of currencies, stabilized at 101.11, and the dollar rose, leading to higher oil prices and fueling inflation fears.

Brent crude futures rose today by more than 1.3% to $95.31 per barrel.

US two-year Treasury yields rose to their highest level in 17 months yesterday (Wednesday), as higher oil prices fueled inflation fears, increasing the likelihood of US interest rate hikes.

The euro rose 0.02% to $1.1412, while the Australian dollar fell 0.1% to $0.6989, and the New Zealand dollar fell almost 0.1% to $0.5811.

Sterling was last trading at $1.3373, and the Japanese yen rose 0.02% to 163.1 against the dollar, erasing its gains, as the currency fell to 163.23 on Tuesday, its lowest since December 1986.

Tensions between Washington and Tehran dollar yen