The dollar clung to its highest levels of the week against most of its peers at the start of trading in Asia on Wednesday as the US renewed strikes on Iran, renewing geopolitical tensions and sending oil prices higher.

The dollar index, which measures the greenback’s strength against a basket of six currencies, traded at 101.18, its highest level since July 2.

The bids for safe haven currency came after the US unleashed a new wave of strikes against Iran on Tuesday and revoked a licence allowing the country to sell oil after three tankers were attacked in the Strait of Hormuz.