USD exchange rates fluctuate due to geopolitical tensions and economic data.

A softer-than-expected March PPI print and a pickup in initial jobless claims pushed the U.S. dollar lower last week. Traders trimmed Fed-hike odds, DXY fell to multi-week lows, and both G10 and emerging-market FX gained as geopolitical optimism reduced safe-haven demand.

This article reviews last week's decisive USD moves: a spike in the DXY after a strong U.S. NFP print and a subsequent pullback when geopolitical tensions in the Middle East eased. It explains the drivers—labor data, Treasury yields, oil—and the practical implications for key pairs such as USD/INR.

Heightened Middle East tensions and a spike in oil pushed safe-haven flows into the US dollar last week. With the Dollar Index near 99.5 and Fed rate expectations holding, traders face volatility ahead of key US data and the upcoming FOMC meeting.

The dollar posted a technical rebound last week, with the DXY around 99.65 as of March 22, 2026. EUR/USD, GBP/USD and USD/JPY moved sharply as traders reacted to positioning and risk flows rather than a single macro shock.

This article reviews last week’s concrete drivers behind U.S. dollar strength: the Fed’s hold and higher-for-longer messaging, rising oil that lifted inflation expectations and affected exchange rates, and targeted emerging-market central bank interventions in India and Nigeria that shifted specific USD pairs.