Dollar Mixed on Iran Progress

Representatives from the two countries were joined by mediators from Pakistan and Qatar at Bürgenstock resort in Switzerland over the weekend to begin technical discussions centered on achieving a permanent peace deal after a memorandum of understanding was signed last week on the sidelines of the G7 summit to lay the foundation. Iranian officials report that oil and petrochemical exports have surged to their highest level since the conflict began, and crude oil continued its drop from last week on the news. Hostilities in Lebanon remain a major point of contention, and a roadblock to a final deal. Iran temporarily re-closed the Strait of Hormuz on Saturday, citing Israeli ceasefire violations in Lebanon, and President Trump warned that strikes would resume should Hezbollah continue to attack Israel. Talks were able to resume. 

GBP

The British Pound is up against the Buck this morning despite major political uncertainty in the U.K. following the resignation of Prime Minister Keir Starmer. Starmer has fallen from grace incredibly quickly after his ruling Labour party suffered their worst set of election results in history last month and prompted more than 100 Labour MPs to call for his resignation. Reform UK claimed the majority of those lost seats. Andy Burnham, former Mayor of Manchester, has secured his return to parliament by winning the Makerfield by-election last week. Burnham has been publicly angling for the opportunity to challenge Starmer for some time now, and he quickly confirmed that he would seek the top job following Starmer’s resignation. Wes Streeting, the former Secretary of State for Health and Social Care and fellow Starmer opponent, quickly endorsed Burnham, making him the clear frontrunner.