Summary

• Peace between the US and Iran could ease Brent crude prices and reduce inflationary pressures, impacting global interest rate trajectories.
• Traders are scaling back expectations for Fed rate hikes, with a 59% chance of a 2026 hike post-peace deal, down from 68%.
• EUR/USD may strengthen if inflation fears subside, but faces resistance at 1.1687 and could rally toward 1.1849 if momentum persists.
• Risks remain as the Strait of Hormuz reopening is slow, and US AI-driven power demand and job growth may support a stronger dollar.

After weeks of uncertainty, it appears that peace has finally been agreed between the United States and Iran in a move that could help to ease soaring energy prices and encourage the Federal Reserve to return to

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