Resumption of tanker attacks in the Strait of Hormuz drives USD strength and EURUSD unwinding amid monetary policy divergence.

The entities involved

• Middle East →

  geopolitical region encompassing Egypt and most of Western Asia, including Iran

  • Qatar mediates US-Iran diplomatic efforts as talks regarding a memorandum of understanding take place, while Israel remains cautious of regional threats.01:41
  • Trump announced a signed agreement with Iran, which JD Vance confirmed, aiming to fully open the Strait of Hormuz. The ceremony is expected in Geneva.01:07
• US Dollar (Next day) →

  Distinct currency with ISO 4217 code "USN", defined for trade purposes

  • The direction of the US Dollar is affecting gold's movement, and a long-term market indicator has recently turned negative.Mon 11:03
  • Stronger US labor data is pressuring the peso as the FED weighs its interest rate decisions against global market volatility and Middle East tensions.Sun 00:51
• FED →

  business

  • The FOMC held the federal funds rate steady while NOAA predicted strong El Niño conditions, coinciding with the release of PCE price data.00:28
  • Lisa D. Cook dissented in the recent FOMC meeting, advocating for a rate increase.00:19

Related events

• Geopolitical tensions in the Middle East are driving oil prices up, leading to inflation risk for the Fed and strengthening the dollar.Jul 9
• Negotiations are underway involving the FED regarding sanctions relief and the Strait of Hormuz.Mon 09:08