The U.S. dollar index (DXY) fell by 0.14% today, influenced by a 9% drop in April WTI crude oil prices after reaching a high of $119 per barrel. This decline comes amid ongoing geopolitical tensions, including an Iranian drone attack that halted operations at the Ruwais Industrial Complex, the UAE’s largest refinery.
In related data, February existing home sales in the U.S. rose by 1.7% month-over-month to 4.09 million, exceeding expectations for a decrease to 3.88 million. Swaps markets currently reflect a 0% chance for a -25 basis point rate cut during the upcoming Federal Open Market Committee meeting on March 17-18.
G-7 energy ministers convened today in Paris to discuss oil stockpiles, with French Finance Minister Roland Lescure indicating that all options are on the table, including an emergency release. The backdrop includes rising tensions in Iran, with the recent appointment of hardliner Mojtaba Khamenei as Iran’s new supreme leader.
