Asian share markets fell and oil prices jumped on Monday after Iran claimed to have closed the Strait of Hormuz, escalating geopolitical tensions and renewing concerns over global inflation.
The U.S. military has conducted retaliatory strikes against Iran after its forces attacked a Cyprus-flagged container ship, U.S. Central Command said, escalating tensions in a critical global oil chokepoint.
Billions of dollars in currency options are set to expire on Wednesday across major pairs including EUR/USD, USD/JPY, and GBP/USD, potentially influencing spot prices and increasing short-term volatility around key strike levels.
Short-term government bond yields in the Eurozone surged as rising oil prices, fueled by new U.S.-Iran tensions, combined with investor anxiety ahead of key U.S. Federal Reserve meeting minutes.
The U.S. dollar erased earlier gains and turned lower on Wednesday after minutes from the Federal Reserve's June meeting suggested a more divided and cautious outlook on future rate hikes than investors had anticipated.
The U.S. dollar gave up early gains driven by escalating conflict in the Middle East, while the Japanese yen weakened after a report indicated no immediate changes to state pension fund investment strategies.
The U.S. dollar gave up initial gains driven by escalating U.S.-Iran tensions, while the Japanese yen fell toward 40-year lows following a report that downplayed imminent changes to state pension fund investment strategies.
U.S. Treasury and German Bund yields remained elevated after escalating military tensions in the Middle East triggered a spike in crude oil prices, renewing investor fears of inflation and prompting a selloff in sovereign debt.
The Canadian dollar rose to its strongest level in three weeks against the U.S. dollar after Canada's economy added 18,200 jobs in June, far exceeding market forecasts and reinforcing expectations for the Bank of Canada to hold interest rates.
