Muted FX Reaction to Gulf Escalation as Oil Nears $80
FX markets showed a muted response to the re-escalation in the Gulf and the jump in oil prices, while rates saw more movement. Brent crude approaching $80 per barrel could delay disinflation and affect Fed policy.
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FX markets showed a muted reaction to the re-escalation in the Gulf region and the subsequent jump in oil prices yesterday. In contrast, the rates space experienced more pronounced movements.
Brent crude is now trading closer to $80 per barrel than $70, posing risks to the disinflation trend. This could increase the probability of the Federal Reserve...
Source: FXStreet Forex News