United States Dollar Index regains ground on further escalation in Middle East war
- The US Dollar rebounds slightly to near 100.92 after a sharp plunge on Wednesday.
- Escalating military aggression between the US and Iran has improved the US Dollar's safe-haven appeal.
- The Fed left interest rates unchanged on Wednesday, as expected.
The US Dollar (USD) trades slightly positive in the Asian session on Thursday after a juggernaut fall the previous day. At press time, the US Dollar Index (DXY), which gauges the Greenback’s value against six major currencies, trades 0.12% higher to near 100.92.
US Dollar Price Today
The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the British Pound.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.14% | 0.20% | 0.07% | 0.05% | 0.05% | -0.17% | 0.19% | |
| EUR | -0.14% | 0.04% | -0.06% | -0.11% | -0.12% | -0.33% | 0.05% | |
| GBP | -0.20% | -0.04% | -0.09% | -0.13% | -0.15% | -0.36% | 0.04% | |
| JPY | -0.07% | 0.06% | 0.09% | -0.04% | -0.03% | -0.26% | 0.15% | |
| CAD | -0.05% | 0.11% | 0.13% | 0.04% | 0.02% | -0.21% | 0.19% | |
| AUD | -0.05% | 0.12% | 0.15% | 0.03% | -0.02% | -0.20% | 0.17% | |
| NZD | 0.17% | 0.33% | 0.36% | 0.26% | 0.21% | 0.20% | 0.43% | |
| CHF | -0.19% | -0.05% | -0.04% | -0.15% | -0.19% | -0.17% | -0.43% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).
It appears that fears of further escalation in the Middle East war have improved the safe-haven appeal of the US Dollar. Earlier in the day, US Central Command (CENTCOM) began launching strikes against Iran late Wednesday, retaliating against Iranian missile attacks on American forces in the region, the Guardian reported. This came after US President Donald Trump threatened to accelerate military aggression in retaliation for its “surprise attack” on US forces overnight.
On Wednesday, the US Dollar fell like a house of cards after the Federal Reserve’s (Fed) monetary policy announcement, in which it left interest rates unchanged in the range of 3.50%-3.75%. This was the fifth straight meeting when the Fed maintained the status quo.
Three out of 12 Federal Open Market Committee (FOMC) members, Beth Hammack (Cleveland), Neel Kashkari (Minneapolis), and Lorie Logan (Dallas), dissented from the hold and voted for a 25-basis-point (bps) interest rate hike.
The remarks from Fed Chairman Kevin Warsh clearly indicated that the central bank has no tolerance for inflation above the 2% target and it might act to bring it down. "Committee remains resolute to deliver price stability," Warsh said, and added, "We will not hesitate to act."
Economic Indicator
Fed Interest Rate Decision
The Federal Reserve (Fed) deliberates on monetary policy and makes a decision on interest rates at eight pre-scheduled meetings per year. It has two mandates: to keep inflation at 2%, and to maintain full employment. Its main tool for achieving this is by setting interest rates – both at which it lends to banks and banks lend to each other. If it decides to hike rates, the US Dollar (USD) tends to strengthen as it attracts more foreign capital inflows. If it cuts rates, it tends to weaken the USD as capital drains out to countries offering higher returns. If rates are left unchanged, attention turns to the tone of the Federal Open Market Committee (FOMC) statement, and whether it is hawkish (expectant of higher future interest rates), or dovish (expectant of lower future rates).
Last release: Wed Jul 29, 2026 18:00
Frequency: Irregular
Actual: 3.75%
Consensus: 3.75%
Previous: 3.75%
Source: Federal Reserve
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