US-Iran Deal Reopens Strait of Hormuz; BoJ Hikes to 1.0%
Reports indicate a US-Iran agreement has been virtually signed, ending the naval blockade of Iranian ports and reopening the Strait of Hormuz. Meanwhile, the Bank of Japan raised its policy rate to 1.0%.
The US-Iran deal is advancing, with overnight reports suggesting the agreement is effectively finalized. Under the terms, the US naval blockade of Iranian ports will end, the Strait of Hormuz will reopen, and a 60-day nuclear compliance window will begin. The move is expected to ease geopolitical tensions and potentially lower crude oil supply risks.
Separately, the Bank of Japan has raised its benchmark interest rate to 1.0%, marking a continued tightening cycle. The rate decision underscores the BOJ's shift away from ultra-loose policy amid persistent inflation and a strengthening yen.
Source: FXStreet Forex News