Middle East conflict escalates, IEA suggests joint release of strategic reserves, G7 to deliberate

Currency and Market Update

As North American trading is set to open, the US dollar shows a mixed performance. Anticipation of an interest rate increase next week has propelled the Australian dollar to its strongest point since June 2022. Meanwhile, the Japanese yen remains the weakest among the G10 currencies, with the dollar climbing to nearly JPY158.50—its highest since the Federal Reserve and US Treasury reportedly monitored rates on January 23. Today, the People's Bank of China set the dollar's reference rate at a new multi-year low. Oil prices remain steady, trading within the same range as yesterday. Earlier, reports emerged of three vessels being attacked in the Strait of Hormuz and the Persian Gulf. G7 leaders are set to review a new proposal.