The dollar index traded around 101.3 on Friday, hovering near a three-week high as newly announced US tariffs under President Donald Trump reignited concerns about a renewed global tariff wall. Under the new framework, imports from countries including Mexico, Canada, the UK, and India will face 10% duties tied to alleged forced-labor issues, while tariffs on goods from the European Union and Taiwan will be capped at 10%. Products from Japan, South Korea, and Switzerland will generally be subject to tariffs of up to 12.5%, with some items facing additional charges. The greenback also found support from rising expectations of tighter Federal Reserve policy, driven by escalating tensions in the Middle East that have pushed energy prices higher, alongside still-solid US labor market data. Swap markets currently imply roughly a 34% probability of a Fed rate hike next week, with at least one increase fully priced in by September and the chance of another move before year-end.