The dollar declined against major currencies on Monday as hopes for a deal to reopen the Strait of Hormuz drove oil prices below $100 per barrel, even though the U.S. and Iran downplayed the likelihood of reaching an agreement soon.
Over the weekend, President Trump announced on social media that a memorandum of understanding for a peace agreement with Iran was “largely negotiated,” with reports of progress from both countries and mediators in Pakistan.
“The negotiations are proceeding in an orderly and constructive manner, and I have informed my representatives not to rush into a deal in that time is on our side,” Trump said.
Meanwhile, many global markets—such as those in the U.S., Hong Kong, Britain, and most of Europe—were closed for public holidays on Monday, resulting in reduced liquidity.
The U.S. dollar fell 0.2% against the yen, trading at 158.89 yen.
The euro increased by 0.40% to $1.1649, and the British pound rose 0.55% to $1.35044. The Australian dollar went up 0.64% to $0.7174, while the NZ dollar gained 0.5%.
Crude oil prices also dropped 5% on Monday.
West Texas Intermediate futures fell roughly 5.8% to $90.95 per barrel, while Brent futures also declined about 5.8% to $97.60 per barrel.
By CEO NA Editorial Staff
