US airstrikes on Iran lift oil

On September 2, 2026, the U.S. dollar held firm as renewed Middle East hostilities, triggered by U.S. airstrikes on Iran on Tuesday, pushed oil prices higher and revived inflation concerns. Brent crude rose 0.92% to $95.52 per barrel, and WTI gained 0.89% to $91.02. The dollar index stood at 99.67, supported by safe-haven demand and rising Treasury yields. Markets priced in a 67% chance of a United States — Federal Reserve rate hike in September, up from 40% a week earlier, following Fed Chair Kevin Warsh's Jackson Hole speech. Despite weaker-than-expected U.S. economic data, expectations of monetary tightening persisted. The Japan — Japanese yen remained weak at 160.21 per dollar, with U.S. Treasury Secretary Scott Bessent voicing support for decisive monetary steps to combat yen weakness in a meeting with BOJ Governor Kazuo Ueda. The Japan — Bank of Japan is widely expected to raise rates this month. The New Zealand — Reserve Bank of New Zealand is also expected to hike rates. Bitcoin and Ethereum fell slightly. Analysts noted that coordinated intervention to support the yen is unlikely until de-escalation in the Strait of Hormuz reduces oil price pressure.