The US dollar closed mixed in late session trading last week as uncertainty continued to plague the market.
The turbulent situation in the Middle East continues to be monitored by analysts who see it as a current factor driving global market movements until continuing this week.
The Hamas-Israel war conflict continues with continued attacks launched by the Israeli Zionist army on Gaza and increasingly involves the intervention of major countries including the United States and Russia.
The strengthening momentum of the US dollar last week stalled after a speech by Federal Reserve (Fed) Chairman Jerome Powell hinted that a rate hike would not be implemented in the near term.
The majority of the market expects interest rates to be kept on hold at the November meeting and it is likely that if a rate hike occurs, it will be in December.
The United States (US) 10-year treasury yield is hovering at 5.00% which is the highest level reached since 2007.
While the dollar index is flat above the level of 106.00 points, slightly down from the height of 107.30 reached at the beginning of last October.
Pressure on other major currencies eased slightly as the strengthening of the US dollar last week faded again.
The Euro will trade cautiously this week as investors await the outcome of the European Central Bank's (ECB) policy meeting after President Christine Lagarde's previous dovish signal.
The focus of investors is the Japanese Yen currency as at the end of last week it almost touched the critical level of ¥150.00 against the US dollar.
Investors are looking forward to potential intervention by the Japanese central bank and government into the market which will trigger a drastic move in the Yen in a short period of time.
