U.S. Dollar Weakens 0.1% on Monday as Middle East Tensions Cool

The U.S. dollar weakened on Monday (June 8), with the Dollar Index (DXY) falling 0.1% to 100.00, as rising risk appetite offset safe-haven demand. The easing of Middle East tensions after Iran and Israel ceased mutual attacks following U.S. President Trump's call for de-escalation buoyed market sentiment. According to Iranian state media, Iran's armed forces declared an end to military operations against Israel, while Israel's Prime Minister stated the country would "temporarily halt" attacks on Iran. This week remains critical for currency markets, with key U.S. Consumer Price Index (CPI) and Producer Price Index (PPI) data expected to influence expectations on Federal Reserve interest rate policy. The yen edged higher but remained above 160 per dollar, while the euro rose 0.1% to 1.1530 against the dollar.
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