United States (US) President Donald Trump told the Wall Street Journal that the US was aware of Israel’s plans to attack Iran. Trump further noted that he spoke with Israeli Prime Minister Benjamin Netanyahu on Thursday and added that he plans to speak with again on Friday.
“Attack would be great for the market because Iran will not have a nuclear weapon,” he said, per Reuters.
President Trump took to his social media platform earlier in the day, Truth Social, to say that ”Iran must make a deal before there is nothing left.”
His post read:
I gave Iran chance after chance to make a deal. I told them, in the strongest of words, to “just do it,” but no matter how hard they tried, no matter how close they got, they just couldn’t get it done. I told them it would be much worse than anything they know, anticipated, or were told, that the United States makes the best and most lethal military equipment anywhere in the World, BY FAR, and that Israel has a lot of it, with much more to come – And they know how to use it. Certain Iranian hardliner’s spoke bravely, but they didn’t know what was about to happen. They are all DEAD now, and it will only get worse! There has already been great death and destruction, but there is still time to make this slaughter, with the next already planned attacks being even more brutal, come to an end. Iran must make a deal, before there is nothing left, and save what was once known as the Iranian Empire. No more death, no more destruction, JUST DO IT, BEFORE IT IS TOO LATE. God Bless You All!
Market reaction
The US Dollar Index extends its daily rally in the American session on Friday and was last seen gaining 0.67% on the day at 98.50. Meanwhile, Wall Street’s main indexes trade deep in negative territory after the opening bell. At the time of press, the Dow Jones Industrial Average was down 1.2%, while the S&P 500 Index was losing 0.7%.
US Dollar PRICE Today
The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the New Zealand Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.68% | 0.60% | 0.61% | 0.17% | 0.87% | 1.03% | 0.41% | |
| EUR | -0.68% | -0.03% | -0.03% | -0.44% | 0.28% | 0.32% | -0.27% | |
| GBP | -0.60% | 0.03% | -0.06% | -0.48% | 0.22% | 0.34% | -0.22% | |
| JPY | -0.61% | 0.03% | 0.06% | -0.41% | 0.28% | 0.41% | -0.19% | |
| CAD | -0.17% | 0.44% | 0.48% | 0.41% | 0.68% | 0.87% | 0.27% | |
| AUD | -0.87% | -0.28% | -0.22% | -0.28% | -0.68% | 0.13% | -0.44% | |
| NZD | -1.03% | -0.32% | -0.34% | -0.41% | -0.87% | -0.13% | -0.57% | |
| CHF | -0.41% | 0.27% | 0.22% | 0.19% | -0.27% | 0.44% | 0.57% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).
Risk sentiment FAQs
In the world of financial jargon the two widely used terms “risk-on” and “risk off” refer to the level of risk that investors are willing to stomach during the period referenced. In a “risk-on” market, investors are optimistic about the future and more willing to buy risky assets. In a “risk-off” market investors start to ‘play it safe’ because they are worried about the future, and therefore buy less risky assets that are more certain of bringing a return, even if it is relatively modest.
Typically, during periods of “risk-on”, stock markets will rise, most commodities – except Gold – will also gain in value, since they benefit from a positive growth outlook. The currencies of nations that are heavy commodity exporters strengthen because of increased demand, and Cryptocurrencies rise. In a “risk-off” market, Bonds go up – especially major government Bonds – Gold shines, and safe-haven currencies such as the Japanese Yen, Swiss Franc and US Dollar all benefit.
The Australian Dollar (AUD), the Canadian Dollar (CAD), the New Zealand Dollar (NZD) and minor FX like the Ruble (RUB) and the South African Rand (ZAR), all tend to rise in markets that are “risk-on”. This is because the economies of these currencies are heavily reliant on commodity exports for growth, and commodities tend to rise in price during risk-on periods. This is because investors foresee greater demand for raw materials in the future due to heightened economic activity.
The major currencies that tend to rise during periods of “risk-off” are the US Dollar (USD), the Japanese Yen (JPY) and the Swiss Franc (CHF). The US Dollar, because it is the world’s reserve currency, and because in times of crisis investors buy US government debt, which is seen as safe because the largest economy in the world is unlikely to default. The Yen, from increased demand for Japanese government bonds, because a high proportion are held by domestic investors who are unlikely to dump them – even in a crisis. The Swiss Franc, because strict Swiss banking laws offer investors enhanced capital protection.
