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06/14 12:27

EUR/USD retreats as Israel-Iran conflict jolts

EUR/USD retreats as Israel-Iran conflict jolts markets, ends 4-day rallyEURUSD-bearish-line_Small.png
  • Euro hit hard despite stable EU inflation data as geopolitical tensions boost US Dollar.
  • Israel’s strike on Iran triggers safe-haven flows into the Dollar; EUR/USD drops from 1.16 to 1.1488 intraday.
  • Tehran cancels nuclear talks; risk sentiment deteriorates, overshadowing soft US inflation.
  • Eurozone industrial output contracts sharply; German CPI steady at 2.1%, but French and Spanish inflation slip below ECB target.

EUR/USD ends four-day winning streak, prints losses on Friday as risk appetite takes a hit after Israel launched an attack on Iran, boosting the safe-haven appeal of the US Dollar (USD). At the time of writing, the pair trades around 1.1530, down 0.36%.

Sentiment shifted sourly after breaking news revealed Israel’s attack, which targeted Iranian militia officials, installations and nuclear facilities. Consequently, Iran retaliated, sending over a hundred drones and canceling the sixth round of nuclear negotiations, according to the Tehran Times.

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