Mitsubishi UFJ Financial Group: Unless oil prices rise significantly again, the increase in the US dollar may be limited.

Derek Halpenny of Mitsubishi UFJ Financial Group Bank stated that unless there is a larger increase in oil prices, the strength of the US dollar may continue to be limited. He said that energy prices may need a greater increase to boost risk aversion sentiment, which would benefit the US dollar as a safe-haven currency. "Currently, the market's focus is more on the consequences of inflation rather than specific economic growth, which helps to curb the decline in the stock market." He said that if concerns about slowing growth intensify, the US dollar may initially rise further, while risk-sensitive G10 currencies will perform poorly. He said that hopes for a ceasefire are currently suppressing financial market risks. The DXY US dollar index rose 0.2% to 99.782.