Geopolitical risks in the Middle East bolster the US Dollar, pushing EUR/USD to a third day of losses near 1.1500.
EUR/USD extended its decline for a third consecutive session, trading near 1.1500 in Asian hours as the US Dollar strengthened amid rising Middle East uncertainty. Diplomatic tensions between the US and Iran persist, with crude oil prices at risk of climbing if hostilities escalate, potentially delaying Federal Reserve rate cuts.
The pair remains under pressure despite hopes for negotiations, as US President Donald Trump labeled his latest offer a “last chance” for Iran. Tehran rejected the terms, warning against foreign military presence in the Strait of Hormuz. Market focus also shifts to Fed Chair Kevin Warsh’s reported proposal to adjust rate-setting meetings, adding to policy uncertainty.
No immediate market reaction was specified, but traders are monitoring geopolitical developments and Fed signals closely.