Dollar falls as central bank hikes rates; oil jumps on China export suspension

The local currency strengthened against the dollar after the central bank raised interest rates, a tightening move that supports the currency. Concurrently, oil prices rose nearly 2% to $100.09 per barrel following China's suspension of petroleum product exports, a supply-side shock that adds inflationary pressure globally. The rate hike signals a hawkish pivot, while the oil spike introduces a stagflationary risk to the outlook.