The shadow of the Iran war hangs over markets. The US has imposed a deadline on Iran, coming later today, threatening unimaginable destruction upon the nation. Markets continue to trade nervously, ahead of the deadline, with equities in the negative and bond yields creeping higher. Peace negotiations are ongoing, via an intermediary, so a positive outcome may come before further escalation. The US Dollar was softer, with the EUR regaining 1.1550, while the GBP pushed back to 1.3260.The softer reserve allowed commodity currencies to stabilise, with the AUD holding around 0.6950, while the NZD attempts to maintain 0.5700. All eyes remain focused on the Middle East, although there will be local interest in the RBNZ, who are expected to hold rates.
