ING: If Iran Conflict Keeps Oil Prices High, Dollar May Remain Supported

On April 7, Chris Turner from ING stated in a report that the dollar is likely to continue being favored unless a ceasefire is reached in the Middle East conflict or the Tuesday evening deadline set by President Trump for an agreement with Iran is postponed. He noted, ‘High energy prices are continuing to support the dollar, as is the seemingly strong U.S. economy.’ He referred to the U.S. position as a net exporter of oil. He added that if no agreement is reached by 8 PM Eastern Daylight Time and Trump follows through on his threat to bomb Iranian civilian infrastructure, energy prices could face significant further increases. The DXY dollar index is stable at 100.02, and ING expects the index to remain in the 100.00-100.50 range before the deadline.