Dollar stumbles as optimism from fragile Israel-Iran truce lingers

Dollar stumbles as optimism from fragile Israel-Iran truce lingers

Source: EODHD - https://www.investing.com/news/economy-news/dollar-stumbles-as-optimism-from-fragile-israeliran-truce-lingers-4109408
Published: Jun 24, 2025 9:25 PM

By Rae Wee SINGAPORE (Reuters) -The dollar struggled to regain lost ground on Wednesday as investors who have been starved of good news latched onto optimism over a fragile truce between Israel and Iran as a reason to take on more risk. Markets were jubilant and an index of global shares hit a record high overnight as a shaky ceasefire brokered by U.S. President Donald Trump took hold between Iran and Israel. The two nations signalled that the air war between them had ended, at least for now, after Trump publicly scolded them for violating a ceasefire he announced. Investors heavily sold the dollar in the wake of the news, after pouring into the safe-haven currency during the 12 days of war...

Market context: This update is relevant to AUD traders, with AUDUSD as the primary instrument to monitor for follow-through, trend continuation, or headline volatility.