Dollar firms on hawkish Fed bets, oil rebound; yen near 40-year low (opens original article in a new tab)

The US dollar strengthened on Tuesday amid expectations of a more hawkish Federal Reserve and a rebound in oil prices, while the Japanese yen approached a four-decade low, raising concerns about potential intervention.

• US dollar strengthened due to expectations of a more aggressive Federal Reserve and rebounding oil prices.
• Japanese yen near 40-year low, prompting discussions about potential intervention by authorities.
• U.S. Treasury yields remained elevated, with 2-year note yields near a 16-month high as traders anticipate rate hikes.