Mitsubishi UFJ analyst Derek Halpenny said in a report that if the Trump administration confirms U.S. involvement in the Israel-Iran conflict in the coming days, the dollar could decline. He stated that any U.S. intervention could accelerate the end of the conflict and suppress Iran's motivation to create any disruptions in crude oil supply. This could lead to a drop in oil prices and weaken the dollar. Lower oil prices would support the case for further rate cuts by the Federal Reserve and negatively impact the trade conditions for the U.S. as a major oil producer.