The dollar index gained marginally to 99.954, up a little over 0.1% for the week, following a 1.6% plunge the previous week

The dollar headed for a weekly gain against major peers on Friday as doubts about an Iran peace deal buoyed the currency’s safe-haven appeal.

The U.S. dollar also drew support from higher Treasury yields after a Financial Times report citing sources close to U.S. central bank Chair Kevin Warsh pointed to the potential for a September interest rate hike, depending on incoming data.

The closely ​watched monthly U.S. payrolls report, due later on Friday, could provide more clues on the central bank’s rate path.

The dollar index gained marginally to 99.954, up a little over 0.1% for the week, following a 1.6% plunge the previous week.

Tensions continued ​to play out in the Gulf after it was reported a proposed deal between Iran and Oman to help end the Iran-U.S. war could give Tehran ‌control over ⁠inbound traffic through the Strait of Hormuz.

Brent crude added $1.31 on Friday to trade at $83.80 per barrel, after ​settling up more than $3 in ​the previous session.

The heightening inflation ⁠risks weighed on Treasuries, sending yields higher.

USD was supported by higher oil prices following news that a deal between the U.S. and Iran to reopen the strait is further away than hoped, said ​Kristina Clifton, an economist at Commonwealth Bank of Australia.

She and other analysts also pointed to ​the FT report ⁠saying Warsh was open to a September hike, although Clifton added, we expect the Fed to wait until December before starting a modest tightening cycle.

A divided U.S. central bank left rates unchanged last month, but Warsh said he was committed to bringing inflation down.