The US Dollar Index rose to 101.40 on Thursday, marking its highest level since late July and securing a fourth consecutive gain, according to FX Street. This strength reflects the dollar's recovery, having regained about 90% of the losses it experienced between late July and early August.
Meanwhile, the USD/JPY pair extended its upward momentum for a fifth straight day, driven by growing expectations of a Federal Reserve interest rate hike. FX Street reported that this sustained advance highlights investor confidence in the US dollar amid tightening monetary policy prospects.
For Japanese market participants, the continued appreciation of USD/JPY could impact exporters and influence equity market sentiment as the yen weakens against the dollar.