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Trump says Iran talks remain possible as markets await key central banks
The comments come as investors look ahead to monetary policy meetings from the Federal Reserve, the Bank of England, and the Bank of Japan, which could sway demand for safe haven currencies like the US dollar and Japanese yen.
FXStreet reports that US President Donald Trump said Iran is talking to the United States about a deal and that reaching one remains possible. He also said there is plenty of time to reach an agreement, and that the US would get involved if there were problems with the Houthis, while noting the Abraham Accords with Saudi Arabia had not been discussed.
The article adds that investors are also focused on upcoming monetary policy meetings at three of the eight major central banks, led by the Federal Reserve, along with the Bank of England and the Bank of Japan. It frames the market context in terms of “risk-on” and “risk-off,” where risk appetite can shift toward or away from higher volatility assets.
According to FXStreet, risk-on conditions typically lift stock markets and most commodities aside from gold, while strengthening currencies tied to commodity exports. In contrast, risk-off conditions tend to support bonds, gold, and safe haven currencies including the Japanese yen, Swiss franc, and US dollar, with the Australian dollar, Canadian dollar, and New Zealand dollar generally weaker in those periods.
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