UniCredit: If Iran War Ends, US Dollar May Decline Further

According to Odaily, UniCredit Bank analyst Roberto Mialich stated in a report that the US dollar may fall further if the Iran war ends or becomes a risk factor for the Trump administration. He pointed out that if risk appetite improves, the dollar’s safe-haven role would lose support, as seen after Trump announced a two-week ceasefire. He stated: “Once the conflict finally ends, the market will refocus on the factors that depressed the dollar before the war broke out.” If the US becomes involved in a prolonged conflict with no clear exit strategy, the dollar could also weaken. He said this could spark a new round of credibility concerns regarding US economic policy and the dollar. (Golden Ten Data)