The dollar was steady on Monday, while the yen held onto recent gains and hovered near a seven-month high as markets awaited this week’s policy meetings from the Federal Reserve and the Bank of Japan. Oil prices, pushed well above $100 a barrel by the six-month U.S.-Israeli war on Iran, have complicated the global interest-rate outlook, Reuters reported. After U.S. consumer prices accelerated in August, traders priced in an 86% chance of a Fed hike this week, with the possibility of another increase later in the year. The euro was at $1.159, sterling at $1.3524, and the dollar at 153.49 yen.

Chevron CEO Mike Wirth said crude oil buffers that had helped prevent prices from rising during the Iran war have been exhausted, leaving room for the conflict to lift prices further in the coming months. Brent crude futures were on track for an 8% weekly gain. Wirth also said Chevron’s $7 billion Venezuela expansion will be funded entirely by cash from its local joint ventures, targeting output of about 600,000 barrels per day by 2031.

Traders are planning to ship large volumes of Brazilian arabica to ICE delivery warehouses as ICE-certified inventories hover around 220,000 bags, a 26-year low. Expected deliveries of roughly 300,000 bags would not lift stocks to the 1 million-bag level traders consider comfortable. Brazil’s coffee exports to Belgium jumped 245.3% year on year in August to more than 525,000 60kg bags, according to government data analysed by Brazilian broker Terra Investimentos. Tight exchange stocks have been a key factor keeping coffee prices around $3 per lb.

U.S. consumer inflation rose 3.4% year-on-year in August and increased 0.4% from July, both in line with market expectations. Core CPI rose 0.3% month-on-month, slightly above the 0.2% forecast, while the core rate eased to 2.4% year-on-year. After the data, markets lifted the implied probability of a Federal Reserve rate increase in September to 82%.

Spot gold rose 0.2% on Friday to $4,324.79, but is down more than 2% so far this week and is set for a third consecutive weekly decline. Pressure on bullion intensified after U.S. August PPI data came in above expectations, reinforcing bets the Federal Reserve could raise rates. Traders are now awaiting U.S. CPI figures for clearer signals on the Fed’s policy path. Spot silver slipped 0.3% and is down more than 4% for the week.

The White House has yet to make a final decision on tariffs for refined copper, as officials weigh the risk that higher copper prices could lift manufacturing costs against the goal of encouraging more domestic mining, people familiar with the matter said. The Commerce Department delivered an update on the copper market to President Donald Trump by a White House-set June 30 deadline, and one proposal would impose a 15% tariff starting in 2027 and phase up to 30%. U.S. refined copper imports have risen 16fold since 2015 while production has fallen 20%, even though the country has nearly 30 years’ worth of supply within its borders.

August U.S. producer price data and a jump in oil prices renewed inflation concerns, with markets pricing a 70% chance the Federal Reserve raises rates next week. Brent crude rose 6% to $107 a barrel after key supply routes through the Strait of Hormuz and the Red Sea were disrupted by the U.S.-Israeli war on Iran. The S&P 500 fell 0.59% and the Nasdaq slid 0.59%. The S&P 500 is down nearly 3% from its Aug. 13 record close but remains up 11% in 2026.

Meta launched an AI assistant on Tuesday that can autonomously send emails, sell a car and book travel, as it looks to expand revenue beyond advertising. The assistant offers a free basic tier, alongside higher-end subscriptions priced at $20 a month and $100 a month. Meta expects its AI infrastructure spending to exceed $130 billion this year. Internally, major technical and security incidents rose 40% year over year due to an AI-driven surge in code, while staff time spent responding to incidents increased 70%.

Bank of England Governor Andrew Bailey told lawmakers on Tuesday that a rate increase is not inevitable and that policy decisions will depend on economic and geopolitical developments. He said markets have built in a risk premium that implies more tightening than the most likely policy path, reflecting concerns about higher energy prices, according to Reuters. Bailey and three other Monetary Policy Committee members largely reiterated their existing views ahead of the BoE’s Sept. 17 rate announcement. Market pricing points to a 25-basis-point hike by year-end and two additional increases before 2027.