The US dollar struggled to recoup its losses on Wednesday with investors heading for riskier assets following the Iran-Israel ceasefire.

Global stocks surged to record highs while oil prices plummeted as the two countries agreed to cease hostilities.

Such developments prompted investors to heavily sell off the dollar after a recent surge on haven demand during the war.

The euro dipped 0.1% today but was still near October 2021 highs at $1.1597, while Sterling settled at $1.3616, near January 2022 highs.

The Swiss franc spiked to $0.8051 near 10-⅕ year highs, while the yen bucked the trend with a 0.37% drop against the greenback to 145.4.

As for the dollar index, it rose mildly to 98.1 against a basket of major rivals.

Powell

Fed Chair Jerome Powell testified ahead of Congress that the Federal Reserve isnt in a hurry to cut interest rates.

Trump continued his attacks against Powell and said he hoped Congress would take this stubborn and stupid person into account, adding that America will pay the price of his stupidity for many years to come.

Trump said theres no inflation in the US and the economy is doing great, and asked once more for interest rates to be down by two or three percentage points, which would save the government $800 billion a year.

US Rates

Following Powells testimony, the odds of a Fed 0.25% rate cut in July stod at 19%.

The odds of such a cut in September rose from 82% to 87%.