Dollar advances as oil prices rise after latest US-Iran strikes, Houthi blockade

The US dollar strengthened for a fourth straight session while oil prices surged, with WTI crude rising 2.09 percent to 84.97 dollars a barrel and Brent climbing 1.88 percent to 90.90 dollars, after the 10th straight night of US strikes on Iran and Houthi blockade threats in the Red Sea. The dollar index gained 0.17 percent to 101.16 as multiple Fed officials, including Chair Kevin Warsh, flagged inflation concerns, lifting market expectations of a 25 basis point rate hike to 21.9 percent for next week's meeting from roughly 11 percent a week earlier. The combination of elevated crude prices and a firmer dollar poses risks for India through a wider import bill, higher inflation, and renewed pressure on the rupee.