Forex
Dollar Erases CPI Losses and Edges Higher as Strait of Hormuz Tensions Cloud the Outlook
The US dollar staged a swift intraday reversal on August 12, 2026, clawing back all of its CPI-driven losses as escalating tension around the Strait of Hormuz rekindled safe-haven demand and overrode a softer inflation print. The move underscores how geopolitical risk can quickly trump macro data in currency markets.