Investors Rush to dollar as Iran plans Revenge
The greenback strengthened as nervous investors sought refuge.

Quick overview
- The US dollar strengthened as investors sought safety amid rising tensions in the Middle East.
- The euro fell 0.3% while the Australian dollar hit a one-month low, reflecting market anxiety.
- Iran's parliament approved a measure to potentially close the Strait of Hormuz, heightening global tensions.
- Crude oil prices surged to a five-month high, with concerns of Iranian retaliation driving speculation of further increases.
The greenback strengthened as nervous investors sought refuge. However, the cautious actions indicate that markets were preparing for Iran’s reaction to US strikes on its nuclear facilities, which have intensified the conflict in the Middle East.
The euro was down 0.3 percent at $1.148, while the Australian dollar, frequently viewed as a risk proxy, fell to a one-month low and was last down 0.67 percent at $0.6408. Lastly, the dollar index, which measures the dollar’s strength, was up 0.12 percent at 99.37.
Iran’s Press TV reported that the Iranian parliament had approved a measure to close the strait. Iran has never actually closed the Strait despite previous threats. Tensions around the world increased on Monday as Iran and Israel exchanged missiles and airstrikes over Tehran’s anticipated reaction to a US attack on its nuclear facilities.
Major changes occurred in the oil market, where crude prices reached a five-month high and global stocks fell following the US attacks on Iran’s nuclear installations and reports that President
Market players anticipate further price increases as concerns grow that an Iranian retaliation might involve closing the Strait of Hormuz, through which a fifth of the world’s crude supply passes.
The current geopolitical escalation is the fundamental catalyst for Brent to rise and possibly spiral towards $100, with $120 per barrel looking increasingly plausible. Donald Trump suggested that the Islamic Republic’s government should be changed
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account

Related Articles
Sidebar rates
HFM
Related Posts
Doo Prime
XM
Best Forex Brokers
