Trump-Iran Ceasefire Sparks Market Rally as Dollar Slips
Trump-Iran Ceasefire Sparks Market Rally as Dollar Slips
Markets rally as Trump unveils a two-week Iran ceasefire, sending the dollar lower and lifting gold and crypto with renewed risk appetite.
Global markets surged after President Trump announced a two-week ceasefire with Iran, triggering a broad risk-on shift. The US dollar weakened against major currencies, with the euro, yen, Australian dollar and New Zealand dollar all climbing as traders priced in reduced geopolitical risk. The dollar index slid about 1.0% to around 98.97, while the yen strengthened about 0.6% to 158.68 per dollar and the euro traded near $1.167.\n\nCryptocurrencies joined the rally, with Bitcoin advancing about 3.4% to roughly $71,664 and ether surging around 5.7% to $2,234.78 as investors rotated into higher-risk assets.\n\nGold prices also climbed, rising about 2.3% as safe-haven demand shifted with the easing of immediate tensions and traders watched key price levels in a volatile market.\n\nMarket mood shifted ahead of a key deadline related to the Strait of Hormuz. While the ceasefire reduces immediate risk, analysts cautioned that the situation remains fluid and any deterioration could quickly reverse gains.\n\nOverall, analysts say the move shows how diplomacy can tilt markets for a time, though many warn that any flare-up could promptly unwind the rally. Traders will be watching for concrete steps and new policy signals from Washington.
