The U.S. dollar strengthened to its highest level in more than a week on Tuesday as markets sharply increased expectations for a Federal Reserve rate hike at Wednesday’s meeting. The Dollar Index, which measures the currency against six major rivals, rose about 0.24% to around 99.60 after reaching a monthly high of 99.736 a day earlier. CME FedWatch data put the probability of a 25-basis-point increase to a 3.75%-4.00% target range at 92.1%, up from about 60% a week earlier, while markets assigned a 53.4% chance of another hike in October. Brent crude rose above $113 a barrel after renewed attacks on Saudi Arabian pipeline facilities and Houthi operations in the Red Sea region. Higher oil prices intensified inflation concerns and pushed the 10-year U.S. Treasury yield above 5% for the first time since 2007. The euro fell 0.1% to about $1.1539, its weakest level in four weeks, while the yen declined 0.3% to 154.82, a low of more than one week. The Bank of Japan is due to announce its policy decision Friday, with observers watching for signals on whether tightening could accelerate after an expected increase to 1.25%.