#PowellRemarks
📊 The Impact of the War on Currency Markets (June 19, 2025)
The escalation of the confrontation between Israel and Iran has led to a wave of "safe-haven demand": the dollar has risen against emerging currencies, supported by fears of an expanding conflict and the involvement of international powers. The Japanese yen and the Swiss franc recorded gains as traditional safe havens. In contrast, the Iranian rial has fallen to record levels, surpassing 94,000 tomans against the dollar after being close to 83,000. The Israeli shekel initially declined but later recovered with the support of central bank interventions. Markets are currently in a state of anticipation, amid prospects of additional pressure on imported currencies such as the rupee and the ruble due to rising oil prices and increasing import burdens.