On Thursday, the U.S. dollar received a boost from rising Treasury yields as investors anticipated a potential interest rate hike by the Federal Reserve later this year. This sentiment was further fueled by safe-haven flows amid ongoing geopolitical tensions, particularly regarding the U.S.-Iran conflict. The market's focus was also on the meeting between U.S. President Donald Trump and China's Xi Jinping in Beijing, where discussions on economic agreements and trade relations are expected. The offshore yuan remained stable at 6.7860 per dollar, as traders speculated on potential deals between the two largest economies. Analysts from Barclays noted that while the yuan is expected to hold steady, intervention from authorities may limit rapid appreciation. The dollar index was up 0.63% for the week, while the euro and sterling experienced declines. Recent U.S. inflation data, showing the largest producer price increase in four years, has raised expectations for a tightening cycle by the Federal Reserve, with a 31.8% chance of a rate hike in December. The two-year Treasury yield reached 3.9750%, close to a one-and-a-half-month high, while the ten-year yield stood at 4.4669%. The Australian dollar approached a four-year peak, supported by hawkish rate expectations domestically.