Dollar Hits Multi-Month Highs Amid Middle East War

The US dollar rose Friday as Middle East tensions spurred safe-haven demand. Investors are now pricing in a potential Federal Reserve rate hike by December.

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The United States dollar climbed toward multi-month highs on Friday as investors sought safety amid an intensifying conflict in the Middle East and fading hopes for a diplomatic de-escalation. Markets remained on edge following a volatile week, particularly after President Donald Trump extended a pause on strikes against energy facilities in Iran into April, despite conflicting reports regarding progress in negotiations.

A collection of U.S. dollar bills is displayed in an illustrative photo from March 24, 2026. REUTERS/Dado Ruvic/Illustration
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