Asia Summary and Highlights 22 June
Hormuz maritime security mechanism agreed by Iran
Asia session
There is a breakthrough in Switzerland as Iran agreed to the Hormuz maritime security mechanism. It is a welcoming surprise after the week end ebbs and flows. U.S. major equities rebounded from opening low, so as precious metal. AUD/USD is trading 0.09% lower at 0.7007 after filling the gap lower. NZD/USD is trading 0.18% lower while USD/CAD rises 0.22% with both Brent and WTI reversing early gap up to trade more than a dollar/b lower.
The improvement in risk sentiment does not seem to be driving any USD offers, instead the ongoing uncertainty are driving USD bids. The push and pull will paint a difficult picture for any sustained rally in risk asset. USD/JPY is aiming to revisit June high at 161.64, 0.25% higher for the session after opening lower. Else, EUR/USD is down 0.05% and GBP/USD is down 0.13%.