The U.S. dollar hovered close to a two-week high against its major peers on early Monday, following higher yields and easing geopolitical tensions. The index which measures the value of the greenback against its major opposing currencies, the dollar index, closed at 90.445. It got closer to a two-week high of 90.477 on the previous session. Looking at its Japanese counterpart, the dollar reached its highest level in two months of 107.89 yen.
This came in after the U.S. Federal Reserve said it would go for an interest hike sooner this year, pushing Treasury yields higher by 2.968 percent and strengthening the dollar. In addition, last Saturday, North Korea said that it would scrap its nuclear test sites, suspend missile tests, and pursue economic growth and peace. These remarks came in before a possible summit with the United State. The easing tension in the Korean Peninsula also helped the dollar.
The price of oil was almost unmoved on Monday after higher rig count in the U.S. signaled an increase in production. U.S. West Texas Intermediate (WTI) crude prices lost about 3 cents and closed at $68.37 per barrel. London Brent crude was stable at $74.07 a barrel.