NEW YORK: The dollar was on track for its biggest weekly gain since mid-June, buoyed by the rise in oil prices, while the yen was poised for its largest weekly percentage decline in more than two months as the currency languishes at 40-year lows despite Japan’s pledges to stabilise the currency.
The dollar index, which measures the greenback against a basket of currencies, fell 0.04 percent to 101.4 but was up nearly 0.7 percent for the week, on track for its biggest weekly gain in five weeks.
Against the Japanese yen, the dollar weakened 0.04 percent to 163.78 but was up nearly 0.9 percent on the week, which would mark its strongest week since May 15. On Thursday, the dollar hit 163.98, its strongest against the yen since November 1986.
The dollar has been rising in recent days as renewed strikes in the US-Iran conflict have caused a reversal in oil prices and again fanned inflation fears, in turn buoying expectations the Federal Reserve may hike interest rates.
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