The euro held near $1.16 as investors prepared for the European Central Bank’s policy meeting later this week, while higher oil prices intensified inflation concerns. Brent crude reached a fresh six-week high amid renewed US-Iran fighting and reports that Iran and Oman were nearing an agreement to manage shipping through the Strait of Hormuz, prompting concern about Tehran’s growing control over the key waterway. Persistent inflation and resilient economic growth are pressuring central banks to maintain restrictive policy settings. The ECB is widely expected to raise interest rates on Thursday, with markets almost fully pricing another increase by year-end. In the United States, investors are awaiting key inflation data after Friday’s strong jobs report pushed the probability of a Federal Reserve rate hike next week to nearly 60%, adding support to the dollar.