Dollar Gains on Middle East Tensions, But Broader Markets Hold Steady
| Action Insight Daily 6-23-25 |
Dollar Gains on Middle East Tensions, But Broader Markets Hold Steady |
Dollar continues to dominate currency markets as geopolitical anxiety keeps providing support. Safe haven demand, sparked by fears of escalating conflict between the US and Iran, has put economic data on the back burner. While Iran has reiterated threats of retaliation after the US bombing of its underground nuclear sites, it has yet to act in a meaningful way. That delay may be giving markets some breathing room, but tensions remain high—especially with reports that some vessels have already paused transit through the Strait of Hormuz. Despite the elevated geopolitical backdrop, broader market reaction has been relatively restrained. European equity indexes are modestly in the red, and US futures are pointing to a flat open. Oil prices, which spiked sharply at the start of the week, have retraced most of those gains, while Gold continues to struggle for momentum despite the rise in geopolitical risk. Investors appear to be awaiting Iran’s next move before taking more directional bets. In the currency markets, Dollar and Swiss Franc lead gains, joined by Euro. Commodity currencies are bearing the brunt of the risk-off tone, with Kiwi and Aussie sitting at the bottom of the daily performance chart. Yen has been softer despite the cautious mood, while Sterling and the Loonie are trading in the middle of the pack...... |
GBP/USD Mid-Day Outlook Daily Pivots: (S1) 1.3422; (P) 1.3467; (R1) 1.3492; More... GBP/USD's fall from 1.3631 short term top resume by breaking 1.3381 temporary low. Intraday bias is back on the downside for 38.2% retracement of 1.2076 to 1.3631 at 1.3278. Strong support should be seen there to bring rebound. Break of 1.3509 resistance will turn bias back to the upside for retesting 1.3631 high. However, decisive break of 1.3278 will suggests that larger scale correction is underway and target 1.3206 resistance turned support and below. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:00 | AUD | Manufacturing PMI Jun P | 51 | 51 | | 23:00 | AUD | Services PMI Jun P | 51.3 | 50.6 | | 00:30 | JPY | Manufacturing PMI Jun P | 50.4 | 49.5 | 49.4 | | 00:30 | JPY | Services PMI Jun P | 51.5 | 51 | | 07:15 | EUR | France Manufacturing PMI Jun P | 47.8 | 49.8 | 49.8 | | 07:15 | EUR | France Services PMI Jun P | 48.7 | 49.2 | 48.9 | | 07:30 | EUR | Germany Manufacturing PMI Jun P | 49 | 48.8 | 48.3 | | 07:30 | EUR | Germany Services PMI Jun P | 49.4 | 47.8 | 47.1 | | 08:00 | EUR | Eurozone Manufacturing PMI Jun P | 49.4 | 49.7 | 49.4 | | 08:00 | EUR | Eurozone Services PMI Jun P | 50 | 50.1 | 49.7 | | 08:30 | GBP | Manufacturing PMI Jun P | 47.7 | 46.9 | 46.4 | | 08:30 | GBP | Services PMI Jun P | 51.3 | 51.2 | 50.9 | | 13:45 | USD | Manufacturing PMI Jun P | 51.1 | 52 | | 13:45 | USD | Services PMI Jun P | 52.9 | 53.7 | | 14:00 | USD | Existing Home Sales May | 3.95M | 4.00M |
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