Renew blockade of Strait of Hormuz support for the US dollar.U.S. Dollar Currency IndexTVC:DXYWiseLeoTradingRenewed Middle East tensions have reignited inflation concerns as oil supply through the Strait of Hormuz halts again. Meanwhile, the latest US Strategic Petroleum Reserve stockpile fell to its lowest level since 1984, which may pressure the US to resolve the conflicts sooner. Meanwhile, Fed’s Waller noted that the Fed should raise interest rates soon this month if inflation remains persistent. The swap market indicates that the odds of a rate hike this month have surged to 50%. However, today's CPI release may ease due to the recent decline in oil prices, but the market focuses more on the Core CPI figure, which gauges stable inflation factors. A stronger-than-expected Core CPI may further bolster rate hike expectations and provide additional support for the US dollar index. Technically, the US dollar index broke above 101.2 and remains above this level with expanding EMAs, signaling potential further upside. If the US dollar index breaches above 101.40, the price may advance to find resistance at 101.70. Conversely, falling below 101.2 may prompt a decline toward the next support at 100.60. By Van Ha Trinh - Financial Market Strategist at Exness