Singapore, May 20 (QNA) – The US dollar was steady near a ​six-week high on Wednesday as investors come to terms with the possible need for higher interest rates to tackle inflation due to ‌the Iran war, pushing the Japanese yen back into the intervention zone.

Against a basket of currencies, the dollar was steady at 99.306. The index is up more than 1 percent in May ​due to safe-haven demand and markets pricing in chances of the Federal Reserve hiking interest rates by the end of the year.

The euro last bought USD 1.16025, having ​touched its lowest level since April 8 in the previous session.

The British pound was at USD 1.34, not far from a ⁠six-week low it touched earlier this week.

The Australian dollar, often seen as a barometer for risk sentiment, was subdued at USD 0.7105, while the New Zealand ​dollar fetched USD 0.5834. Both were near five-week lows.

The dollar’s rise ⁠has pushed the yen back near the 160-per-dollar level that led to Japanese officials last month launching their first currency market intervention in nearly two years, where the yen was at 158.93 per dollar. (QNA)