The dollar edged higher, buoyed by a rise in Treasury yields, as traders mulled ongoing diplomatic efforts to contain an escalation in the Israel-Hamas war. The Aussie rose after minutes showed the Reserve Bank of Australia considered a rate hike at its meeting earlier this month.

Bloomberg Dollar Spot Index added 0.1% while gold and oil traded in tight ranges. Treasury yields extended their climb amid US bid to keep the war contained .

Israel's defense minister has warned of a long war against Hamas ahead of President Joe Biden trip to Israel and Jordan as the US ramps up efforts to prevent the conflict from engulfing the region.

AUD/USD up 0.2% to 0.6352 after RBA kept a hawkish bias in its minutes, saying it has a low tolerance for a delay in inflation returning to target.

NZD/USD dropped 0.4% to 0.5904 after third quarter inflation slowed to 5.6% versus economist expectations of 5.9%. USD/JPY was little changed at 149.53.

Source: Bloomberg