The US Dollar strengthened against several currencies following a hawkish interest rate hike by the Federal Reserve last week. According to FX Street, the GBP/USD pair dropped to near 1.3375 during early European trading hours on Monday as investors reacted to the Fed's stance.
Meanwhile, the Indonesian Rupiah continued to weaken, with the USD/IDR pair extending its winning streak for the eighth consecutive day, trading around 17,850 during Asian hours on Monday. This sustained momentum reflects ongoing hawkish sentiment from the Fed, FX Street reported.
Gold prices also started the week on the back foot after stalling near the $4,400 level on Friday, failing to recover from a six-week low reached last Wednesday. For Japanese investors, these moves underscore the impact of US monetary policy on regional FX markets, influencing yen pairs and risk appetite across Asia.