The US dollar declined against major currencies on Friday, heading toward a second consecutive weekly loss, following reports indicating that the United States and Iran have reached an agreement to maintain the ceasefire and lift restrictions imposed on navigation through the Strait of Hormuz.
اضافة اعلان
US President Donald Trump stated that he would make a final decision today regarding the agreement with Iran. Four sources reported that the deal would extend the truce for another 60 days and allow the Strait of Hormuz to open to shipping, while negotiators discuss thornier issues such as Iran's nuclear program.
The dollar had previously benefited from the outbreak of the war due to its status as a safe haven and the limited impact on the United States from energy import inflation.
Currency Market Performance
The Euro: Rose 0.23% to $1.1678, heading toward a weekly gain.
The British Pound: Rose 0.23% to $1.3473.
The US Dollar Index: (which measures the greenback against a basket of currencies) dropped 2% to 98.81, on track for its second straight weekly loss.
The Japanese Yen: Registered 159.22 against the dollar, remaining near the 160 level that had previously prompted Japanese authorities to intervene in the currency market.
The Australian Dollar: Advanced 0.41% to $0.71915.
The New Zealand Dollar: Surged by nearly 1% to $0.59920, marking its highest level in more than three months.
US Inflation and Interest Rate Expectations
Data released on Thursday showed that US inflation rose in April at its fastest pace in three years, driven by soaring energy prices resulting from the war with Iran. This development reinforced economists' expectations that the Federal Reserve will keep interest rates unchanged until next year.
- Reuters
