The Federal Reserve’s unanimous 25-basis-point rate hike to the 3.75-4.00% target range on September 16, accompanied by a hawkish dot plot projecting at least one additional increase by year-end, has driven the primary catalyst for recent DXY strength. The index climbed above 100.30 intraday, posting weekly gains exceeding 1% and testing seven-week highs near 100.50 amid elevated Treasury yields near 5.00% and persistent inflation concerns around 3.4% year-over-year. Geopolitical tensions in the Middle East and firmer oil prices have reinforced safe-haven demand for the dollar, while market-implied odds now price further tightening and wider policy divergence versus other major central banks. Traders will next monitor September PMI releases and any follow-through on Fed communications for shifts in rate-path expectations.