Dollar index steady near 99.50 mark as conflicts escalate between US and Iran driving oil prices higher

The dollar index is steadying around 99.5 on Tuesday after declining in the previous session, as investors continued to assess prospects for Federal Reserve interest rate hikes following hawkish comments from Chair Kevin Warsh and rising oil prices. Rising oil prices on renewed signs of conflict between the two nations is fueling inflation concerns and reaffirming Federal stance of a possible rate hike. Chair Warsh said last week that the Fed would have work to do without clearer evidence that inflation is moving back toward its 2% target. US ISM Manufacturing PMI and JOLTS Job Openings due later today will be closely watched. Among basket currencies, EUR/USD and GBP/USD are both holding almost flat around $1.1613 and $1.3544 respectively.