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Economic Times
a day ago
- Business
- Economic Times
Dollar and other safe havens rise as Israel strikes Iran
Following reports of Israeli strikes on Iran, currency markets saw a sudden shift, bolstering the U.S. dollar, Japanese yen, and Swiss franc. Currency markets saw a sudden shift as Israel initiated strikes on Iran. The US dollar, Japanese yen, and Swiss franc strengthened. Crude prices rose sharply due to potential supply disruptions. Gold prices also surged to their highest level since early May. Risk-sensitive Asian currencies weakened following the news. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads The U.S. dollar rallied alongside the safe-haven Japanese yen and Swiss franc , with currency markets abruptly reversing direction on news Israel had launched strikes on has begun carrying out strikes on Iran, two U.S. officials told Reuters, adding that there was no U.S. assistance or involvement in the operation. Another report suggested that explosions were heard northeast of Iran's capital index that measures the dollar against six other currencies gained 0.4%, and was last at 98.07, in early Asia the yen, the dollar slipped 0.35% to 143 per dollar, while the Swiss franc tumbled 0.39% to 0.807 per Asian currencies such as the Aussie dollar and the New Zealand dollar weakened 0.9% in the week, the dollar index hit multi-year lows as investors were not impressed by a U.S.-China trade truce, while cooler-than-expected inflation data fuelled expectations of more aggressive interest rate cuts by the Federal dollar is on track for weekly declines against the yen, the Swiss franc and the prices jumped more than $4 on the news as investors priced in potential supply disruptions from the oil-rich region, while gold prices climbed 0.8% to their strongest since early May.
Time of India
a day ago
- Business
- Time of India
Dollar and other safe havens rise as Israel strikes Iran
Live Events (You can now subscribe to our (You can now subscribe to our ETMarkets WhatsApp channel The U.S. dollar rallied alongside the safe-haven Japanese yen and Swiss franc , with currency markets abruptly reversing direction on news Israel had launched strikes on has begun carrying out strikes on Iran, two U.S. officials told Reuters, adding that there was no U.S. assistance or involvement in the operation. Another report suggested that explosions were heard northeast of Iran's capital index that measures the dollar against six other currencies gained 0.4%, and was last at 98.07, in early Asia the yen, the dollar slipped 0.35% to 143 per dollar, while the Swiss franc tumbled 0.39% to 0.807 per Asian currencies such as the Aussie dollar and the New Zealand dollar weakened 0.9% in the week, the dollar index hit multi-year lows as investors were not impressed by a U.S.-China trade truce, while cooler-than-expected inflation data fuelled expectations of more aggressive interest rate cuts by the Federal dollar is on track for weekly declines against the yen, the Swiss franc and the prices jumped more than $4 on the news as investors priced in potential supply disruptions from the oil-rich region, while gold prices climbed 0.8% to their strongest since early May.
Economic Times
21-04-2025
- Business
- Economic Times
US stocks sink with the US dollar's value as investors retreat further from the United States
U.S. stocks are sinking Monday as investors pull away from the United States because of the uncertainty caused by President Donald Trump's trade war and his criticism of the Federal Reserve. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads U.S. stocks are sinking Monday as investors pull away from the United States because of the uncertainty caused by President Donald Trump's trade war and his criticism of the Federal S&P 500 was 1.2% lower in early trading and back to 15% below its record set two months ago. The Dow Jones Industrial Average was down 430 points, or 1.1%, as of 9:35 a.m. Eastern time, and the Nasdaq composite was 1.5% more worryingly, U.S. Treasury bonds and the value of the U.S. dollar also sank as a retreat continues from U.S. markets. It's an unusual move because Treasurys and the dollar have historically strengthened during past episodes of nervousness. But this time around, it's policies directly from Washington that are causing the fear and potentially weakening their reputations as some of the world's safest continued his tough talk on trade over the weekend, even as economists and investors continue to say his stiff proposed tariffs could cause a recession unless they're rolled back."The golden rule of negotiating and success: He who has the gold makes the rules," Trump said in all capitalized letters on his Truth Social Network. He also said that "the businessmen who criticize tariffs are bad at business, but really bad at politics," also in all has recently focused more on China, the world's second-largest economy, which upped its own rhetoric against the world's largest economy. China on Monday warned other countries against making trade deals with the United States "at the expense of China's interest" as Japan, South Korea and other countries try to negotiate agreements that would lower U.S. tariffs on their own products."If this happens, China will never accept it and will resolutely take countermeasures in a reciprocal manner," China's Commerce Ministry said in a hanging over the market are worries about Trump's anger at Federal Reserve Chair Jerome Powell. Trump last week criticized Powell again for not cutting interest rates sooner to help give the economy more Fed has been resistant to lowering rates too quickly because it does not want to allow inflation to reaccelerate after it has slowed nearly all the way down to its 2% goal from more than 9% three years ago.A move to fire Powell would likely send another bolt of fear through financial markets. While investors would love to see lower interest rates, because they would give at least a short-term boost to prices for stocks and other investments, the larger worry is that a less independent Fed would be less effective at keeping inflation under control in the long run. It would further weaken, if not kill, the United States' reputation as the world's safest place to keep Wall Street, several Big Tech stocks helped lead indexes lower ahead of their latest earnings reports coming later this sank 4.4%, for example. The electric vehicle's stock came into Monday roughly 50% below its record set in December on criticism that its stock price had gone too high and that its brand has become too entwined with Elon Musk, who's leading the U.S. government's efforts to cut the winning side of Wall Street were Discover Financial Services and Capital One Financial, which jumped after the U.S. government approved their proposed rallied 4.6%, and Capital One rose 2.6%.In the bond market, shorter-term Treasury yields fell as investors keep alive hopes that the Fed may cut its main overnight interest rate later this year in order to support the economy. But longer-term yields rose as doubts continue to rise about the United States' standing in the global yield on the 10-year Treasury rose to 4.38% from 4.34% at the end of last week and from just about 4% earlier this month. That's a substantial move for the bond U.S. dollar's value, meanwhile, fell against the euro, Japanese yen, the Swiss franc and other stock markets abroad, Tokyo's Nikkei 225 fell 1.3%. Indexes fared better in Seoul, where stocks rose 0.2%, and in Shanghai, which saw a 0.4% gain.
