U.S. Dollar Changed A Little Amid Reescalation Of U.S.-Iran Tensions

(RTTNews) - The U.S. Dollar value ended nearly flat as investors parsed the escalation in the Middle East following a fresh U.S.-Iran standoff.

The U.S. Dollar Index, DXY, which measures the Greenback against a basket of other major currencies was last seen trading at 98.07, down by 0.02 (or 0.02%) today.

While against the Euro, USD was trading at 1.17875, down by 0.21%, against the GBP, it was trading at 1.35384, down by 0.21%.

Against the USD, the Japanese Yen was trading at 158.863, down by 0.17%. The tertiary industry index in Japan decreased to 106.30 in February from 106.70 in January.

The Swiss Franc was trading at 0.77826, up by 0.40%.

The Canadian Dollar was trading at 1.36433, up by 0.33%. The headline inflation rate in Canada soared to 2.40% in March from 1.80% of the previous month, below expectations of 2.50%. The Consumer Price Index increased 0.90% in March over the previous month. Canada's annual core inflation increased to 2.50% in March while core prices increased by 0.20%.

Against one unit of Australian Dollar, USD was trading at 0.71792, down by 0.18%.

With the U.S.-Iran "two-week truce" plan set to expire on April 22, U.S. President Donald Trump's announcement that U.S. forces seized an Iranian-flagged cargo vessel, Touska, which attempted to get around the U.S. naval blockade area across the Strait of Hormuz, yesterday renewed supply disruption concerns.

Iran called the move, an act of "maritime piracy" as the U.S. forces had attacked and boarded its ship. Iran has warned of retaliation and reasserted control over the strait. Iran accused the U.S. of violating the two-week ceasefire announced by Trump himself weeks before, which is set to lapse on April 22.

While Trump asserted that a U.S. delegation led by Vice President JD Vance would be heading to Pakistan today, conflicting reports emerge about Iran's participation, driving the uncertainty further.

While Iran's state media reported that Iran has no plans to involve in new talks with the U.S., Iran's Foreign Minister Abbas Araghchi stated U.S. forces lacks the seriousness needed for diplomacy and accused it of placing "excessive demands".

With the current ceasefire under test and the upcoming peace talks doubtful, oil prices surged today, renewing inflationary pressures once again.

According to the CME Group's FedWatch Tool, investors are still betting on a 99.5% chance that the U.S. Federal Reserve will maintain the rates at the current level in its upcoming meeting on April 28-29.