The U.S. dollar is catching up with losses it suffered due to US attack on Iranian military commander Qassem Soleimani.
Dollar returned to its previous value versus the Japanese yen on Monday, yet remains slightly weaker versus the Swiss franc compared to its value before the US attack on Soleimani. Investors stay alert and wait to see how the situation in Middle East will evolve.
John Doyle, Vice President of Tempus American Investment company, points out that Japanese yen was slightly strenghtening versus the dollar even before escalation of US-Iranian relations. “Yet, there’s possibility that the strenghtening occured mostly due to events in Iran and in upoming days value on yen could return to its prevous value,“ Doyle said to Reuters.
Yen surged to a three-month high in the beginning of the week, yet slightly weakened later. Swiss franc has been through similar progress but remains about 0,5% stronger against the U.S. dollar than it was before the U.S. attack. Upcoming days will reveal whether dollar fluctuation was only short term or whether it will influence future.
