Gold Drops Below $4,000 as Strong US Dollar and Fed Rate Hike Expectations Pressure Bullion 
South Korea’s KOSPI Jumps Over 5% as Samsung, SK Hynix Rally on Micron Earnings Boost 
South Korea Remains MSCI Emerging Market Despite Reform Progress 
White House Seeks $87.6 Billion Emergency Funding for Iran War, Farmers, and Ebola Response 
Wall Street Ends Mixed as Micron Surges, Apple Drops After Price Hikes 
Trump Requests $11 Billion More in Farm Aid as Rising Costs Pressure U.S. Farmers 
Bank Regulation Rollbacks in the U.S. and UK Could Increase Financial Risks, Study Warns 
Australian Household Spending Rebounds Strongly in May as Travel and Dining Drive Consumer Growth 
Australia Jobs Growth Strengthens Rate Hike Outlook 
Wall Street Ends Mixed as Tech Stocks Struggle Ahead of Micron Earnings 
Morgan Stanley Sees Chinese Auto Market Recovery Gaining Momentum in Late Summer 
Oil Prices Rebound as Strait of Hormuz Tensions Return After Ship Attack Near Oman 
Japan Signals Preference for Low Interest Rates as BOJ Policy Debate Intensifies 
Oil Prices Drop as Strait of Hormuz Shipping Recovers 
Oil Prices Drop as Middle East Supply Recovery Eases Market Concerns 
Bessent Says U.S. Must Strengthen Supply Chains and Economic Security 
BOJ Hawk Signals Faster Interest Rate Hikes Amid Inflation Risks 
The U.S. dollar gained ground on Thursday, rising 0.3% to 99.90 on the US Dollar Index, as conflicting signals surrounding U.S.-Iran peace negotiations renewed demand for safe-haven assets. Investors looking for stability amid geopolitical uncertainty continued to favor the greenback, putting it on track for a monthly gain of over 2%.
Mixed messages emerged from Washington and Tehran regarding a 15-point peace proposal. While Iran publicly rejected the terms, President Trump insisted that negotiations were actively progressing, stating that Iranian negotiators were eager to reach a deal. In a later social media update, Trump confirmed he was extending the suspension of U.S. strikes on Iranian energy infrastructure by 10 days at Tehran's request, signaling that dialogue, however fragile, remains open.
Oil markets remained elevated, with crude prices hovering above the $100-per-barrel mark. Though prices have eased from a near-$120 peak earlier in March, they remain significantly higher than pre-conflict levels from late February. A key concern continues to be the Strait of Hormuz, which handles roughly one-fifth of global oil and natural gas shipments and has remained effectively closed for weeks due to the threat of Iranian naval attacks. Israeli officials reported that a senior Iranian naval commander was killed in overnight strikes, further complicating the situation.
The ongoing energy price shock is stoking inflation fears worldwide. Analysts now widely expect central banks, including the U.S. Federal Reserve, to respond with interest rate hikes in the coming months. Europe is already grappling with surging gas prices, while Asian economies are feeling acute pressure from supply disruptions tied to the strait closure.
Currency strategists at ING noted that markets would need clearer signs of de-escalation before the dollar sees any meaningful decline. Meanwhile, the euro, British pound, and Japanese yen all saw limited movement against the dollar.
