The US dollar maintained its strength on Tuesday, supported by geopolitical tensions in the Middle East and market anticipation of a hawkish stance from the Federal Reserve.

Traders are positioning for a potential rate hike or a hold with restrictive language, keeping the greenback resilient against major peers.

In the commodity currency complex, the Australian dollar fell after the release of domestic inflation data that failed to provide a boost to the currency.

The New Zealand dollar also declined, dropping 0.08% to trade at $0.5783.

Both currencies have faced sustained pressure in recent sessions as global risk sentiment cooled ahead of key macroeconomic releases.

The broader market backdrop remains cautious, with participants pausing ahead of the upcoming US nonfarm payrolls report.