EOS/USD Exchange rate

AUD/USD recovers further toward 0.6500 early Tuesday amid a positive turnaround in global risk sentiment, bolstered by the Israel-Iran ceasefire announcement. This, along with the revival of Fed rate cut bets, weighs heavily on the safe-haven US Dollar, lending support to the pair for the second consecutive day. 

USD/JPY holds the sharp retracement from 148.00 for the second consecutive day on Tuesday amid a broad  US Dollar weakness. Fed Governor Bowman pointed to the possibility of a rate cut in July. Meanwhile, the Iran-Israel ceasefire also undermines the USD, adding to the pair's downside ahead of Fed Chair Powell's two-day congressional testimony.

Gold price bounces-off nine-day lows near $3,335 early Tuesday on reviving July Fed rate cut talks. US Dollar corrects sharply from the monthly top on a Iran-Israel ceasefire and dovish Fed expectations. XAU/USD looks to Fed Powell’s testimony as the 50-day SMA is tested; the daily RSI teases the midline.

The cryptocurrency market made a comeback on Monday, rebounding from a weekend dip as top assets, including Bitcoin, Ethereum, and XRP, staged a recovery. The rebound follows US President Donald Trump's statement that Israel and Iran will each conduct a 12-hour ceasefire, after which the war threats will come to an end.

As the Israel-Iran conflict reaches new heights, an old threat is coming back to haunt the markets: that of the closure of the Strait of Hormuz. This narrow arm of the sea in the Persian Gulf, wedged between Iran to the north and the United Arab Emirates and Oman to the south, is much more than a simple sea passage.