Dollar slides as Iran US de escalation hopes lift oil currencies and pressure Treasury yields

A proposed peace deal is not calming markets

The dollar weakened as hopes of de escalation between Iran and the US supported oil linked currencies, while Japan’s cautionary comments kept yen speculation restrained. Even with talk of a peace proposal, investors remain wary over unresolved nuclear demands and risks around the Strait of Hormuz, which are still swinging oil prices and US Treasury yields. The euro climbed as the dollar index eased.