Dollar falls to 1.5-month low amid Iran tensions easing

Dollar fell to a 1.5-month low of 98.298 against major currencies Tuesday as risk sentiment improved despite U.S. blocking Iran's ports after peace talks collapsed.

Euro rose 0.1% to $1.1769 while sterling reached a six-week peak of $1.3521, with investors latching on to hopes for diplomatic solutions in the Middle East.

U.S. military began blockading Iranian ports but Trump indicated openness to deals without nuclear weapons, sending Asian markets higher (MSCI Asia-Pacific up nearly 2%, Nikkei up 2%). Oil prices dropped despite tensions - Brent crude fell 1.5% to $97.90 while US crude slid 2.3% to $96.78.

For Nigeria, this means stronger dollar could ease import costs but lower oil prices may pressure government revenue. Expect naira-dollar exchange rates to remain volatile as global markets react to geopolitical developments. Will this trend continue or will Middle East tensions push prices higher again?

SOURCE: https://www.channelstv.com/2026/04/14/dollar-slips-on-hopes-of-us-iran-resolution/