US Dollar holds near 18-month high amid rising geopolitical risks | What does it mean for Sensex, Nifty 50?

What happened: The US dollar hovered near an 18-month high on Monday, led by safe-haven demand as escalating Middle East attacks kept investors on edge ahead of key US inflation data later this week. Key numbers: Dollar index rose 0.37% to 102.58, its highest since April 2025. Anuj Gupta cited the dollar trading around 102.57. Why it matters: Analysts said a strong dollar could push foreign investors toward US assets, pressuring FPI flows and the rupee, with the Sensex and Nifty 50 facing short-term volatility and downward pressure from foreign institutional outflows.

Dollar near 18-month high on geopolitical risks, impacting Sensex and Nifty 50.

Dollar near 18-month high on geopolitical risks, impacting Sensex and Nifty 50. — impact context not separately stored; see What changed.