The Dollar and the Euro are staging a modest recovery to the Yen in early Monday trading. The Japanese currency, traditionally seen as a safe haven, recorded gains in the five previous sessions as a result of the escalation in tensions between the US and Iran feeding off the risk-off mood that prevailed in the aftermath of the assassination of a prominent Iranian General by the Americans.
Many feared this situation could lead to an all-out military confrontation between the two countries. That feeling has somewhat subsided and that is why the Dollar and the Euro are gaining ground against the Yen, as it is now believed that Iran’s retaliation may be less extreme than originally feared.
Photo by Mostafa Meraji.
