Dollar drops amid US-Iran tensions easing

The US dollar declined against major currencies after tensions between Washington and Tehran eased, as the United States announced the suspension of its military campaign against Iran. This led to a significant drop in oil prices, with Brent crude falling to $86 and West Texas Intermediate to $85 per barrel. These tensions impacted the market, causing the likelihood of a US interest rate hike to decrease to 33.7%, which supported competing currencies such as the euro and the British pound. Risky digital currencies like Bitcoin and Ethereum also rose. Experts anticipate that diplomatic de-escalation efforts will continue, potentially easing market pressures, leading to further declines in oil prices and stabilization of the US dollar.

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