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07.04.202615:48:39UTC+00Dollar Index Little Changed, Trump's Deadline Eyed

The dollar index hovered near the 100 level on Tuesday as traders weighed rising tensions in the Middle East against the looming deadline set by President Trump for Iran to reach an agreement. Trump warned that unless his conditions — including the reopening of the Strait of Hormuz — are met by 8 p.m. Eastern Time, the United States could target key Iranian infrastructure. He later escalated his rhetoric, declaring that “a whole civilization will die tonight” if Iran’s leadership does not agree to a deal that includes reopening the Strait. At the same time, reports suggest that Iran has suspended negotiation efforts with Washington.

On the data front, consumer inflation expectations rose in March, while the logistics sector saw a marked increase in transportation costs. Looking ahead, Friday’s release of US March CPI data is expected to offer further insight into price pressures that may be tied to the ongoing conflict.

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