The US dollar hits its highest level since last November, contrasting with the policies of other global central banks.

The US dollar hit its highest level since last November on Tuesday, as traders anticipated nearly two 25-basis-point rate hikes by early 2027. Mizuho International strategist Jordan Rochester stated that the dollar has room to rise, and there is growing market discussion that a rate hike cycle might start in September. The euro fell to its lowest level in a year after comments from European Central Bank President Lagarde prompted traders to scale back bets on rate hikes in the region. The yen remained under pressure, as the market sees the Bank of Japan's pace of rate hikes as insufficient to halt the yen's decline, and traders remain alert to possible foreign exchange intervention.