The tense situation in the Asian session this morning (Friday) with news of the war between Israel and Iran has already begun after the preparations made by both countries before.
Market movements began to move in different directions and also affected the trading of major currencies in the market.
Following the United States (US) consumer inflation reading last Wednesday, US producer price index (PPI) data also came with a declining reading in the New York session yesterday.
The monthly producer inflation reading in May increased slowly to 0.1%, not reaching the 0.2% target. The core reading of 0.1% was lower than the 0.3% forecast.
The US dollar reacted negatively to the published data by extending its depreciation pattern towards the end of this week.
Not a good sign for the currency, the Dollar Index (DXY) fell below 98.00 for the first time since March 2022.
The decline in the US dollar's performance was also influenced by a change in market sentiment, which was again considered risky despite the two-day trade talks between the US and China in London ending well.
However, President Donald Trump's latest actions are seen to have sparked tensions in the market again when he announced plans to send an official letter to trading partner countries to refine the tariff agreement.
Market focus is currently being directed at the ongoing war, with continuous explosions reported in Tehran.
Risky market sentiment has investors cautiously watching for retaliation from Iran.
